Macro
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AT&T's $67B BellSouth buy reassembled Ma Bell, restoring scale and pricing power, while digital advertising surged (YouTube/Google). Solidly positive.
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The Walt Disney Company is acquiring Pixar Animation Studios in a $7.4 billion all-stock transaction, making Steve Jobs Disney's largest shareholder and integrating Pixar’s creative leadership into Disney’s animation division. The deal reunites the longtime partners amid leadership changes and strategic realignment, with Pixar preserving its brand and culture while bolstering Disney’s animation pipeline. Market implications include near-term earnings pressure for Disney, offset by long-term growth prospects and strengthened digital content synergies through Jobs’ role at Apple.
AT&T is acquiring BellSouth for $67 billion in stock, reuniting key parts of the former 'Ma Bell' and gaining full control of Cingular Wireless. The merger creates a dominant telecom player with expanded reach across 22 states, prompting regulatory scrutiny and signaling further industry consolidation. The deal is expected to generate $2 billion in annual cost savings and solidify AT&T's leadership in a competitive, converging communications market.