Dish Network
stock was heading higher after the company announced that it would start offering discounted Boost Wireless plans on
Amazon.
com.
In a press release Wednesday, DISH (ticker: DISH) said that Amazon Prime members would be able to sign up for its $25 Boost Infinite plan “seamlessly from the comfort of home.” Prime Members would also get a 20% discount on SIM cards and a $25 credit for the first month of service.
The announcement provoked some excitement from investors, as Dish Network stock was up 9.3% in premarket trading Wednesday, while Amazon (AMZN) stock has dropped 1.5%. Still, it was a far cry from earlier speculation that Amazon would offer free wireless service to all Prime members, reports that caused shares of
AT&T
(T),
Verizon
(VZ), and T-Mobile US (TMUS) to tank. The actual release seems far close to initial reports from The Wall Street Journal to sell plans through the online-retail giant.
“This is a modest positive for DISH, but a far cry from earlier chatter that Amazon would offer Dish’s wireless service to its Prime customers,” writes
Mizuho
‘s Daniel O’Regan.
Perhaps, but the news might be good enough to help DISH stock break out of the trading range it’s been stuck in for the last three months or so.
Anything appears better than nothing, at least for DISH stock.
Write to Ben Levisohn at [email protected]
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