"In the best interest of consumers" Comcast has formally withdrawn their $45 billion merger with Time Warner Cable. This is because the companies have failed to convince regulators that the deal would be good for consumers.
The deal began in February 2014, when Comcast agreed to buy Time Warner Cable in hopes to bring their product to new cities. This quickly caught the attention of many consumers because if completed, the merger would have consolidated the nation's two largest cable companies into one.Many believed that this outcome would happen from the beginning, as the competition was strongly opposed to it. As soon as the merger was announced, consumers and advocacy groups launches campaigns to urge regulators and government officials to put a stop to the potential agreement. According to Federal Communications Commission chairman Tom Wheeler, ""Today, an online video market is emerging that offers new business models and greater consumer choice'¦The proposed merger would have posed an unacceptable risk to competition and innovation, including to the ability of online video providers to reach and serve consumers."" The Department of Justice also agreed with this statement explaining that there was ""no cure to anti-competitive risks presented by the merger'¦"" In a statement released by the company, Time Warner Cable said the decision was ""mutual"" and Comcast agrees stating they are moving on. Many, who opposed the merger, are releasing statements celebrating the breakup calling it a victory for everyone who wants a fair and competitive marketplace.
Now that both companies have walked away what is in store next for them. Will another company buy Time Warner Cable? It has been rumored that Charter Communications has their eyes on merging with them. This would make Charter the number 2 cable operated in country. Whatever the company's future outcome is, as long as it doesn't affect our service- I think we should sit back and enjoy the entertainment."
