AT&T agrees to buy DirecTV for $48.5B

AT&T agreed Sunday to buy DirecTV for about $48.5 billion in yet another mammoth deal in the pay-TV space this year that would immediately boost the telecom giant's customer base at a time of confounding industry challenges.

According to USA Today, the purchase would eliminate a competitor to AT&T's U-verse brand.

Talks about the deal were first leaked April 30. DirecTV shares have since risen 12 percent.

With consumer groups loudly opposing media industry consolidation, AT&T and DirecTV could face difficult regulatory roadblocks.

Read more from USA Today.