Staff attorneys of US Justice Department likely to thwart $45.2 billion merger deal, The staff attorneys at the antitrust division of the US Justice Department was trying to give a recommendation in blocking merger proposals worth USD 42.5 billion between Comcast Corps and Time Warner Cable Inc. Reports cited reliable sources also stated that the lawyers would be very concerned to this merger plan.
TWC spokesman said the company had been worked productively with Comcast Corps. Comcast spokesman also said that the merger would result in great benefits for consuments. To note, the merger plan is opposed by some other media companies and independent groups that oppose the merger between the two media companies. Tom Wheeler, chairman of the FCC said that the merger would lead to an imbalance control of media in the United States.
The attorneys are expected submit their review against the merger proposal as early as next week, sources said. Senior officials will take the final decision on the multi-billion-dollar merger deal.
Downplaying the reports, a TWC spokesperson said that the company has been productively working with both the Federal Communications Commission (FCC) and the Department of Justice (DOJ).
“We’ve had no indication from the DOJ that the report is true,” the spokesperson said.
A Comcast spokesperson has said that the proposed merger deal would result in ‘significant consumer benefits.’
The proposed merger of the two cable television giants has drawn criticism from the Comcast competitors and groups opposing media mergers.
A group of companies, associations and public interest groups on Friday moved FCC to oppose the deal between the top two cable television operators.
In a letter to FCC Chair Tom Wheeler, the groups wrote: “The combined company would, among other things: control over half of the high-speed residential broadband connections in the United States; dominate pay-TV across the nation; combine even stronger distribution muscle with NBC-Universal’s ‘must-have’ video programming; and control critical advertising and set top-box inputs. The Commission should reject this merger because it would result in too much power in the hands of one company.”
The proposed collaboration of the two cable television majors has been under extreme scrutiny since it was announced last February.
If the deal is strike between both the parties, Comcast would become the leading cable and internet provider in the US.
The attorneys are expected submit their review against the merger proposal as early as next week, sources said. Senior officials will take the final decision on the multi-billion-dollar merger deal.
Downplaying the reports, a TWC spokesperson said that the company has been productively working with both the Federal Communications Commission (FCC) and the Department of Justice (DOJ).
“We’ve had no indication from the DOJ that the report is true,” the spokesperson said.
A Comcast spokesperson has said that the proposed merger deal would result in ‘significant consumer benefits.’
The proposed merger of the two cable television giants has drawn criticism from the Comcast competitors and groups opposing media mergers.
A group of companies, associations and public interest groups on Friday moved FCC to oppose the deal between the top two cable television operators.
In a letter to FCC Chair Tom Wheeler, the groups wrote: “The combined company would, among other things: control over half of the high-speed residential broadband connections in the United States; dominate pay-TV across the nation; combine even stronger distribution muscle with NBC-Universal’s ‘must-have’ video programming; and control critical advertising and set top-box inputs. The Commission should reject this merger because it would result in too much power in the hands of one company.”
The proposed collaboration of the two cable television majors has been under extreme scrutiny since it was announced last February.
If the deal is strike between both the parties, Comcast would become the leading cable and internet provider in the US.
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