360° Coverage : Remedy Suggestions For Comcast-Time Warner Cable

2 Updates
Remedy Suggestions For Comcast-Time Warner Cable
Photo Credit: Forbes Business

Remedy Suggestions For Comcast-Time Warner Cable

Mar 14 2014, 10:34am CDT | by

Lawyers seem confident that Comcast’s $45 billion acquisition of Time Warner Cable will pass muster with antitrust regulators, perhaps as early as the end of the year or as late as 1Q15. Since...

Filed under: news

 
 
 

31 weeks ago

Remedy Suggestions For Comcast-Time Warner Cable

Mar 14 2014, 10:34am CDT | by

Lawyers seem confident that Comcast’s $45 billion acquisition of Time Warner Cable will pass muster with antitrust regulators, perhaps as early as the end of the year or as late as 1Q15. Since Comcast agreed to divest 3 million subscribers upon announcement of the merger in February, and the combined entity’s market share will only be about 40%, remedies to assuage concerns about monopsony and other matters will likely take the form of new consent decrees and alterations to existing ones, two antitrust lawyers said. One of them pointed out that historically, mergers in which market influence and pricing are the matters of antitrust concerns tend to proceed with concessions.

“Comcast’s going to have 19 of the top 25 MSAs (metropolitan statistical areas) in the country where there’s one broadband provider or a limited number,” said Dave Schaeffer, CEO of broadband provider Cogent Communications, among Comcast competitors opposed to the deal. He’s less convinced that the merging cable companies will receive antitrust clearances.

Schaeffer believes opposition is mounting against a Comcast-Time Warner Cable deal and has a better than 50% chance of being quashed, but if it should receive antitrust approval, he listed possible remedies that might satisfy competitors and regulators.

One is additional language to broaden penalties if Comcast should violate consent decrees, said Schaeffer.  Comcast has already broken “the spirit” of the NBC Universal consent decree, the open Internet/net neutrality order in which the Philadelphia-based cable company agreed not to manipulate network traffic to its own advantage, in other words, to treat all network traffic alike, Schaeffer said. “Comcast doesn’t manipulate traffic in the network but before it gets to the network by refusing to increase connectivity to all major global Internet backbone providers.”

He would like to see the addition of transparency tests to ensure that Comcast is honoring the open Internet order. The idea of transparency was part of the original open Internet order created by the Federal Communications Commission in 2010, and revised in the NBC Universal consent decree. It required that Internet service providers disclose network management practices to prohibit discriminating or blocking traffic. Schaeffer would like to ways to “objectively test” Comcast’s disclosures on network transparency and meaningful penalties for failure to comply.

Schaeffer believes consumers ought to have the right to sue broadband providers when they are in breach of contracts and codes. At present, consumers waive these rights when they sign contracts with their network operators and can only arbitrate disputes, ultimately too costly for consumers, said Schaeffer.

Lastly, since the Internet is evolving and it’s possible that Comcast could launch a nationwide competitor to Netflix that would extend beyond its networks, there’s a danger that the cable company will treat its own programming differently from that of competitors, and Comcast should be barred from out-of-territory service, said Schaeffer.

Regulators have considered Comcast to be in compliance with the NBC Universal consent decree and open Internet order since the order’s inception three years ago, noted Sena Fitzmaurice, a spokesperson for Comcast. The company has promised to extend its consent decree to include Time Warner Cable. Comcast’s network practices are already transparent, and the proposed merger with Time Warner Cable will not reduce competition because the two companies have no geographies of overlap. The FCC and National Telecommunications and Information Administration have determined that 87% of households have a choice of two wired broadband providers, she added.

Time Warner Cable declined comment.

Source: Forbes Business

 
Update
2

7 weeks ago

Khazanah throws MAS RM6b lifeline

Aug 29 2014 5:01pm CDT | Source: Business Times Singapore

August 30, 2014 1:15 AMKHAZANAH Nasional will inject RM6 billion (SS$2.4 billion) over three years to resuscitate loss-making Malaysia Airlines (MAS) under a recovery plan that includes even an Act of Parliament. Other key moves are migrating its operations, assets and liabilities to a new company (NewCo) and slashing the workf ...
Source: Business Times Singapore   Full article at: Business Times Singapore
 

 
Update
1

7 weeks ago

MAS posts loss of RM307m for Q2

Aug 28 2014 5:00pm CDT | Source: Business Times Singapore

August 29, 2014 1:13 AMMALAYSIA Airlines (MAS) registered a loss of RM307 million (S$122 million) for the second quarter to end-June, but warned of worse to come in the second half when the "full financial impact of the double tragedies of MH370 and MH17" hits hom ...
Source: Business Times Singapore   Full article at: Business Times Singapore
 

 

Don't miss ...

 

<a href="/latest_stories/all/all/30" rel="author">Forbes</a>
Forbes is among the most trusted resources for the world's business and investment leaders, providing them the uncompromising commentary, concise analysis, relevant tools and real-time reporting they need to succeed at work, profit from investing and have fun with the rewards of winning.

 

blog comments powered by Disqus

Latest stories

Ebola-infected Spanish nurse continues 'favourable progress'
Madrid, Oct 19 (IANS) Teresa Romero, the 44-year-old Spanish nursing auxiliary who was the first person to be infected by the Ebola virus in Spain, continues to show favourable progress three weeks after first developing symptoms of the illness and a fortnight after being admitted into the Carlos III Hospital in Madrid.
 
 
Japanese firm eyes algae-based shampoo
Tokyo, Oct 19 (IANS) Japanese household goods maker Kao Corp. may soon be using algae to produce cleansing agents for its products, specifically shampoo, media reported Sunday.
 
 
iPhone app to ensure eye health
Washington, Oct 19 (IANS) Researchers have successfully used an iPhone app for imaging the inside of the eye of immobile and paediatric patients.
 
 
How the birth season can trigger mood disorders
London, Oct 19 (IANS) The risk of developing mood disorders is impacted by the season in which you are born in, a research showed.
 
 
 

Latest from the Network

Bush shoe-tossing painting hits record at Doha auction
Doha, Oct 15 (IANS/EFE) A controversial painting by Iranian artist Mahmud Obaidi, depicting an Iraqi journalist throwing shoe in 2008 at then US president George W. Bush, was sold for $62,500 at a Sotheby's auction in...
Read more on Celebrity Balla
 
US offers $45 mn bounty for eight terror leaders
Washington, Oct 15 (IANS) The US said Tuesday it is offering rewards totalling up to 45 million dollars for information on eight key leaders of the Al Qaeda in the Arabian Peninsula (AQAP) terrorist organisation. The...
Read more on Politics Balla
 
UNSC extends peacekeeping mission's term in Abyei
United Nations, Oct 15 (IANS) The UN Security Council (UNSC) has renewed the mandate of the UN peacekeeping mission in the Abyei border region between Sudan and South Sudan. In an unanimously adopted resolution, the...
Read more on Politics Balla
 
Ebola cases in West Africa could reach 10,000 per week: WHO
Geneva, Oct 15 (IANS) The World Health Organisation (WHO) has warned that the Ebola epidemic in West Africa could reach 5,000 to 10,000 cases per week by the first week of December. "Quite frankly, ladies and...
Read more on Business Balla
 
Turkey, Singapore sign strategic partnership agreement
Ankara, Oct 15 (IANS) Turkey and Singapore have signed a strategic partnership agreement to boost economic, political and cultural cooperation, as well as security collaboration, during the official visit of...
Read more on Politics Balla
 
Christina Aguilera is returning to 'The Voice' USA
Christina Aguilera will return to 'The Voice' USA next year. The 'Your Body' hitmaker, who previously shared a rotating spot on the judging panel with Shakira, has been replaced by Gwen Stefani this season as she is...
Read more on Celebrity Balla
 
Kesha's music producer hits back
Kesha is being countersued by her record company boss, Dr. Luke. The 41-year-old music producer, who runs Kemosabe Records, claims the 27-year-old 'Tik Tok' singer is a liar and is trying to extort him after she accused...
Read more on Celebrity Balla
 
Jason Derulo won't get back together with Jordin Sparks
Jason Derulo insists his split from Jordin Sparks is permanent. The 'Talk Dirty' hitmaker, who recently ended his relationship with the 'No Air' singer after three years of dating, has ruled out getting back together...
Read more on Celebrity Balla
 
Josh Groban feels 'very lucky' to be dating Kat Dennings
Josh Groban feels ''very lucky'' to be dating Kat Dennings. The 'Brave' hitmaker was very nervous before singing in front of the '2 Broke Girls' actress for the first time at the Carousel of Hope Ball in Beverly Hills,...
Read more on Celebrity Balla
 
Australian Richard Flanagan wins 2014 Man Booker prize
London, Oct 15 (IANS) The first Man Booker prize to allow American nominees was Tuesday night won by an Australian, with Richard Flanagan triumphing for a novel of love and war that tells the harrowing stories of...
Read more on Celebrity Balla