Qatar’s Al Jazeera buys US cable channel Current TV

04 Jan 2013

Qatar's Al Jazeera Media Networks said yesterday that it has acquired US cable channel Current TV as part of its long-desired expansion in the US.

Although the terms have not been disclosed, analysts estimate the value of the deal at around $500 million.

Further to the acquisition, Al Jazeera plans to launch a new US news channel Al Jazeera America, which will be based in New York and will cover more than 40 million households, up from the current 4.7 million. The news channel is scheduled to commence broadcasting in 2013.

With the new channel, Qatari state-owned Al Jazeera aims to boost its footprint in the US news broadcasting and compete with larger rivals CNN, MSNBC and Fox.

Al Jazeera's director general Jassim Al Thani said "For many years, we understood that we could make a positive contribution to the news and information available in and about the United States and what we are announcing today will help us achieve that goal."

"By acquiring Current TV, Al Jazeera will significantly expand our existing distribution footprint in the US, as well as increase our newsgathering and reporting efforts in America," Al Thani further said.