Judge Gives AT&T-Time Warner Deal Green Light

By

It’s on. The AT&T acquisition of Time Warner that is.

Federal judge Richard Leon gave the $85 billion deal the green light today – and without any requirements to sell off any parts of the company. He also warned the Department of Justice against leveling further antitrust cases against the pairing.

This development comes just a day after net neutrality was laid to rest. That’s pretty interesting timing, considering the deal gives AT&T control of such valuable content as Game of Thrones and the Harry Potter movies (and CNN too).

In the wake of the ruling, U.S. Senator Amy Klobuchar (D-MN) and the Ranking Member of the Senate Judiciary Subcommittee on Antitrust, Competition, Policy and Consumer Rights, commented: “Allowing this merger to proceed raises serious concerns for consumers and the future of American media, and also sends a troubling signal to others that it’s open season for vertical mergers that could allow a company to raise the cost of essential products and services that its rivals need to compete, leading to higher costs for consumers and less innovation. I urge the Justice Department to take swift action to appeal this judgment to ensure that competition and consumers are protected.”

Digital rights group Fight for the Future tweeted “Approved merger will allow AT&T to charge internet users more money to use apps & services competing with TW content like CNN & HBO.”

Although clearly pro big business and anti regulation, President Trump has voiced his opposition to the AT&T-Time Warner combination. (Some reports indicate that stance had something to do with his dislike of CNN.) But the court today said the DoJ’s concerns about the deal were unfounded.

Meanwhile, publications like The Washington Post reported that the approval of the AT&T-Time Warner deal could set a precedent for more big consolidation in media and communications, among other industry sectors.

As for AT&T, its plans call for closing the deal by June 20.

But this November Politico piece reminds us that big media mergers are sometimes epic fails. Indeed, in 2001 Time Warner and America Online merged in a $111 billion deal. They went their separate ways a few years later.




Edited by Maurice Nagle
Get stories like this delivered straight to your inbox. [Free eNews Subscription]

Executive Editor, TMC

SHARE THIS ARTICLE
Related Articles

How to Protect Your Website From LDAP Injection Attacks

By: Contributing Writer    3/12/2024

Prevent LDAP injection attacks with regular testing, limiting access privileges, sanitizing user input, and applying the proper encoding functions.

Read More

Azure Cost Optimization: 5 Things You Can Do to Save on Azure

By: Contributing Writer    3/7/2024

Azure cost optimization is the process of managing and reducing the overall cost of using Azure. It involves understanding the resources you're using,…

Read More

Massive Meta Apps and Services Outage Impacts Users Worldwide

By: Alex Passett    3/5/2024

Meta's suite of apps and services are experiencing major global outages on Super Tuesday 2024.

Read More

The Role of Technology in Shaping the Future of Affiliate Marketing

By: Contributing Writer    3/5/2024

In the current rapidly growing digital world, affiliate marketing is still one of the most effective ways for businesses to increase their visibility …

Read More

The Steps You Can Take To Improve Customer Service For Your Business

By: Contributing Writer    3/5/2024

When you're in a competitive market, providing exceptional customer service is crucial for the success and growth of your business. Good customer serv…

Read More