The Battle For Voom Subscribers

DISH Network and DirecTV are already fierce competitors, but Echostar Communications (DISH Network) raised the stakes in their battle by purchasing HD-satellite provider VOOM. It's a move that looks good in the short-term because DISH Network significantly improved their HD programming overnight. They now offer an additional ten 'VOOM original' high definition channels to their HD subscribers for an additional monthly fee. As an incentive for VOOM subscribers, they're offering an even-lower price on their programming, which may require a standard 1-2 year contract.

In response, DirecTV is offering a rebate until the end of June to former VOOM subscribers on the purchase of a DirecTV HD receiver. VOOM customers will also receive three months of HD service for free. For the most part, it's a nice deal for VOOM subscribers who are basically left without a provider. But, it's not a head-turner when compared to DISH Network's start-up deal that doesn't require the purchase of any equipment, and provides six months of free HD programming.

However, the long-term looks to belong to DirecTV even though their momentum swinger isn't off the ground yet - meaning the new HD satellites they'll launch this summer that will allow them to offer local station HD channels without the need of an external HD antenna. When the satellites are up and running, DirecTV might just gain the upperhand again with respect to HD programming.