Satellite Showdown

(2 of 2)

Even if Hughes' management would like Ergen to just go away, it has to proceed with caution. It is legally required to go with the highest bid, and at least four shareholder lawsuits have been filed charging that GM and Hughes failed to hold a fair auction. "Ergen's incredibly passionate about winning," says Jimmy Schaeffler, chairman of the Carmel Group, a media and technology research firm. "If people won't deal with him at the table one on one, they'll deal with him in front of their shareholders or in the courtroom."

Ergen could win even if he loses. At the very least, his offer is likely to slow Murdoch's entry into the U.S. market, and it may force News Corp., already heavily indebted, to up its bid. There's still an outside chance Ergen could walk away with the big prize. The odds look long--but no longer than when he was down to his last satellite dish, fighting a blustery Colorado wind.