Close to Sealing the Deal
Another major merge between the two largest cable companies is creating a setback, especially for our wallets. Comcast, the nation’s largest cable company wants to buy Time Warner for $45 billion dollars. If this communications merge were to happen, Comcast would shovel 70 million subscribers, which is about 30 percent of television viewers in the United States. So, why is this an issue?
The last time a deal like this was announced was in 2011 when AT&T tried to merge with T-Mobile, which affected the communications infrastructure. That deal fell through when the Department of Justice sued to block the deal. The Department of Justice “argued at the time that the AT&T deal would decrease competition, hurt consumers and squash innovation.”
The Comcast proposal creates another threat, placing a strange hold on several growing businesses such as internet services and broadcast television. Essentially this proposed merger “would create a behemoth of a monopoly, crushing networks, broadcasters and any content provider looking for a path.” Continue reading
