Comcast Attempt to Consume Time Warner Cable Fails
Samuel Wan / 1 year ago
Comcast has at last given up on their attempt to merge with rival Time Warner Cable. Since the announcement of the merger early last year, the two largest cable providers in the United States have struggled against stiff consumer opposition. The final blow was struck as officials in the Federal Communications Commission and the Department of Justice both started anti-trust investigations into the merger. If the merger had gone through, Comcast would have controlled over 57% of the broadband market with over 33 million customers.
Comcast CEO Brian L. Roberts gave the following statement:
“Today, we move on. Of course, we would have liked to bring our great products to new cities, but we structured this deal so that if the government didn’t agree, we could walk away. Comcast NBCUniversal is a unique company with strong momentum. Throughout this entire process, our employees have kept their eye on the ball and we have had fantastic operating results. I want to thank them and the employees of Time Warner Cable for their tireless efforts. I couldn’t be more proud of this company and I am truly excited for what’s next.”
Opponents of the merger claimed that the result would have created an unstoppable monopoly and harmed competition. Comcast argued that the merger would have saved them billions in redundancies and that the two companies don’t compete against each other anyway. Two of the major complaints were Comcast’s terrible customer service track record and the fact that Comcast were unable to promise any savings to customers as a result of the merger.