U.S. worried AT&T buying Time Warner would hike costs for media rivals: source



WASHINGTON (Reuters) – The U.S. Justice Department is concerned that AT&T Inc’s proposed $85.4 billion acquisition of Time Warner Inc (TWX.N) would raise costs for rival entertainment distributors, a source familiar with the matter told Reuters on Thursday.

The AT&T logo is seen on a store in Golden, Colorado United States July 25, 2017. REUTERS/Rick Wilking

If the firms merged, the antitrust regulator believes it would also inhibit the ability of “innovative new technologies to deliver content to consumers,” the source said.

The Justice Department has demanded AT&T divest its DirecTV unit or sell Time Warner’s Turner Broadcasting unit, which includes news company CNN, in order to approve the deal, sources told Reuters on Wednesday.

Reporting by David Shepardson; Editing by Bill Rigby

Our Standards:The Thomson Reuters Trust Principles.


Source link


Articles You May Like

Singapore energy agency to increase cooperation with Malaysia, Hong Kong counterparts
Justice Chauhan issues judgement in Saleem Malik hearing
Hong Kong leader Carrie Lam to visit Beijing to discuss plans to revive economy
Millions online, 6,000 spectators see South Koreans win top e-sports title
Death Toll Climbs in Vietnam, Laos Heavily Flooded Following Major Storm

Leave a Reply

Your email address will not be published. Required fields are marked *