Judge approves $85 billion AT&T/Time Warner merger

[midian182]

What just happened? Following a six-week trial, the AT&T and Time Warner merger has been officially approved. US District Judge Richard Leon ruled that the $85 billion transaction could go through, despite the Department of Justice suing to block the deal last year.

It was back in 2016 when the proposed takeover was first announced. AT&T is the world’s largest telecommunications company and the second-largest provider of mobile services. It’s also the largest pay-TV company in the US. Time Warner owns Turner Broadcasting System, Warner Bros, and HBO.

Last October, the DoJ launched an antitrust lawsuit to block the merger. It argued that the deal would give AT&T too much power, damage the competition, and eventually lead to higher prices for consumers.

"AT&T/DirecTV would hinder its rivals by forcing them to pay hundreds of millions of dollars more per year for Time Warner's networks, and it would use its increased power to slow the industry's transition to new and exciting video-distribution models that provide greater choice for consumers," the DoJ said. "The proposed merger would result in fewer innovative offerings and higher bills for American families."

Leon disagreed. He ruled that the deal doesn’t violate any antitrust laws and approved the merger without conditions. The judge said the agency’s request to stop the merger was "manifestly unjust."

AT&T had raised questions over whether Donald Trump was a factor in the DoJ’s decision to intervene. During his election campaign, the president had promised to block the deal.

AT&T argued that the merger needed to go ahead in order for it to compete against the likes of Google and Facebook. It also said that customers would benefit from the deal as the newly created company will "develop new ad-supported video models that shift more costs to advertisers and off consumers."

The Department of Justice now has the option of appealing before the companies complete the merger on June 21.

“We are disappointed with the Court’s decision today,” Assistant Attorney General Makan Delrahim said, in a statement. “We continue to believe that the pay-TV market will be less competitive and less innovative as a result of the proposed merger between AT&T and Time Warner. We will closely review the Court’s opinion and consider next steps in light of our commitment to preserving competition for the benefit of American consumers.”

The approval will likely pave the way for more deals between media giants, including the Comcast—or Disney—purchase of 21^st Century Fox and the T-Mobile/Sprint deal

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https://www.techspot.com/news/75068-judge-approves-85-billion-atttime-warner-merger.html

 

[psycros]

Welp...there it is, the last nail in the coffin of consumer choice. There's always a legal venue willing to sell out if you look long enough. I particularly love this nightmare-inducing passage:

"AT&T argued that the merger needed to go ahead in order for it to compete against the likes of Google and Facebook. It also said that customers would benefit from the deal as the newly created company will "develop new ad-supported video models that shift more costs to advertisers and off consumers."

Let that sink in.

 

[SirChocula]

Wonder how much the judge got paid off. Even the justice system is bought and sold on the market...

 

[MoeJoe]

Enjoy the treats to come TW/AT&T customers ...

 

[DelJo63]

Did any of the naysayers read the comments of the judge?

"The DOJ has failed to prove its case that the merger would lessen competition".

In a blunt statement after the ruling was issued, Time Warner (TWX) pointed the finger at President Trump, implying that he influenced the DOJ's decision to bring the case. Time Warner said the government's lawsuit was baseless, "political in its motivation," and should have never been brought.

details here.
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Remember Trump has an axe to grind with CNN, which is owned by TWC

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[TheBigT42]

"AT&T argued that the merger needed to go ahead in order for it to compete against the likes of Google and Facebook" ????

AT&T is a service provider Phone, TV, Internet, Cell Phone, Mobile Data. Facebook does none of this.

 

[wiyosaya]

Did any of the naysayers read the comments of the judge?

"The DOJ has failed to prove its case that the merger would lessen competition".

In a blunt statement after the ruling was issued, Time Warner (TWX) pointed the finger at President Trump, implying that he influenced the DOJ's decision to bring the case. Time Warner said the government's lawsuit was baseless, "political in its motivation," and should have never been brought.

details here.
​

Remember Trump has an axe to grind with CNN, which is owned by TWC

​

"AT&T argued that the merger needed to go ahead in order for it to compete against the likes of Google and Facebook" ????

AT&T is a service provider Phone, TV, Internet, Cell Phone, Mobile Data. Facebook does none of this.

See the above quote.

IMO, anyone who thinks that the current administration is somehow in favor of making the little guy's life easier is, well, I will refrain from saying anything more...

 

[Danny101]

Sad. So much for competition.

 

[Slappy McPhee]

More back alley antics happening and all the while We The People will be the ones paying for it.

All this will do is push more and more people to use more questionable means to consume content. They these efftards will cry about how there is too much piracy. The better half of the human gene pool is getting smaller and smaller.