Investors Pressuring Time Warner Cable to Merge With Charter

Smaller, not bigger

Yes, lets not bring Ma Bell back. I think Broadcasting needs to localize and privatize, not consolidate. Have it come full circle and be like how CATV first was. Small, local run ISP with support of the larger backbone. Video and Voice is so easy to get over Data that cable providers really need to focus on changing into bandwidth providers. Short term, they might lose money, but I see it as the only way of staying relevant in the long term.

The marriage of two D- kids. I wonder what their offspring would look like

These guys are in the basement w/ DSL providers in the latest JDP study and rightly so....

TWC must be up to something, they haven't updated their network speeds so maybe they are just socking the money away.

How would consolidation make them more competitive?

I don't quite see how fewer, bigger companies leads to more competitiveness. Time Warner and Charter occupy different geographic areas, right? Someone will have to explain to me why I'd be more likely to choose cable over satellite based on the size of the company instead of the price/features.

From what I understand, from reading a statement from a TWC exec several years ago, Charter would save about 10% on programming costs for stations. [This could help to offer a lower price** I believe you would have a better chance of winning the lottery before that would happen. ]

Re: Smaller, not bigger

Re: How would consolidation make them more competitive?

Charter and Time Warner are right beside each other's footprints in Southern California and I'm sure many other areas. It would be a very complementary consolidation that would more than likely only benefit the companies and not their customers in the long run. A larger company often can buy things at a discount because they're buying more. They could also fire half the workers and be more efficient. Also, services could be made more similar in more areas of the country.

Heh, kinda doesn't sound good depending on how you look at it.

They are for the most part, in Wisconsin as well. Most areas in WI are Charter, the larger cities Time Warner, and some very small operations for everyone else.

Re: Smaller, not bigger

Consolidation = Ma Cable?

When you squeeze all the providers into one or three big providers, then what fairness do you have for the consumer?

There used to be a basic principal of public interest in these kinds of deals-- aka what's in it for the consumer. None of these mergers come up with benefits for the consumer, instead it's a PR campaign to justify the move to make more money by there being fewer choices and competition. Wall street won't be satisfied until they create a monster cable company known as Ma Cable?

Good luck with that idea..

Re: Smaller, not bigger

I disagree with smaller. Those that live outside city limits here have to deal with the smaller local cable company and it sucks. And it sure as hell isn't cheaper. Hell they have maybe 4 or 5 HD channels besides locals and that's it. Internet is a joke. I have a friend that pays $13 for HBO and it's not even HD and no access to HBOGo and the picture is truly horrid. I'll take Charter over them any day of the week if I had to choose. I'd take satellite over them and I'm not a fan of satellite. That's how much the "smaller" cable company sucks. I'm not sure how one think a company with FEWER resources can be better.

Re: Consolidation = Ma Cable?

Your point would be valid if they currently compete for customers but they don't. A TWC and Charter merger wouldn't hurt cable customers doubt it would help much either. For the record a TWC/Charter/Cox/Cablevision merger would still be smaller than Comcast.

The baby bells couldn't compete for each other's customers, either.

If TWC wants a deal, why not buy Charter?

Since TWC is bigger, wouldn't it make more sense for them to buy out Charter?

Re: Consolidation = Ma Cable?

How'd that work out?

Re: Smaller, not bigger

TWC is busy becoming "one" TWC. They're getting rid of the regions- the same as COX and becoming one actual company that is centralized, like they should have YEARS ago. That was the point of dropping the RoadRunner Online brand- besides having to pay for it. The only ISP/MSO that still uses RR is BHN- a TWC company.

If TWC lined their cards up right with Charter they could easily pull off a merger with TWC's backbone/contracts and call centers it could happen without much of a problem. The only thing is TWC would need to upgrade to a new billing system.

Been there done that with a local company. Company ended up selling out to TWC- WOH (when it was still around). Pricing stayed about the same, but HD was coming out big then (early 2000s), HSI came out, DVR, and actual HBO instead of one channel for $13 you got 15 channels for $13. No more sun-spots in the fall/spring either.

Re: How would consolidation make them more competitive?

It would be hell for Charter in some of the Midwest- like OH/IN/MI where TWC rules in areas and Charter is very limited- especially in Ohio.

Re: If TWC wants a deal, why not buy Charter?

Won't happen. TWC would be smart to take on COX or a smaller company such as Mediacom or Suddenlink. Not Charter who is basically next in line after them. TWC has a hard enough time with their regions and merging them together currently before taking on Charter.

Re: How would consolidation make them more competitive?

You are correct. I've lived there too!

Mergers.

I am guessing with the increasing use of video online and content providers looking at other methods for programming distribution (leaving out the cable companies) ... These cable providers look at merging so they can leverage their larger amount of customers against the programming providers when it comes to contract negotiations.

orange juice margarita and a smile..

Consolidation sounds like monthly rate hikes for consumers.

Re: How would consolidation make them more competitive?

FWIW,
I don't believe TWC is even in Michigan, at all. I know it's not in West Michigan anyway.

The only thing around here is Charter and Comcast.
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Re: Smaller, not bigger

TBbroadband check ur facts BHN used to be TWC systems by is NOT a TWC company.

TWC and Advance/Newhouse Communications share the ownership of BHN. It's been discussed on here before.

Re: How would consolidation make them more competitive?

They have a couple markets. But not many.

Re: Consolidation = Ma Cable?

.

Honestly, I dont mind they merge IF they OFFER Charter's internet pricing. 30mbps for $30promo/$50regular rate. Im in all for that!
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Doesn't fix monopoly

ISPs going at it all wrong. There is no point of merging as it doesn't solve the monopolistic nature.

In reality, you really only have a couple choices on what ISP to go with, and it's based on type of ISP. For example, I myself can only get AT&T or TWC. There is no real competition. This isn't like 2-3 different cable providers in 1 area that I can choose from. I'm literally just choosing between technology.

Merging TWC and Charter together just cuts jobs in the end because you don't need 2 sets of executives running one show. They need to introduce Charter to where TWC exists so customers can choose what to go with, and vise versa.

Merging does make sense

Merging does make sense. A small cable company has no bargaining power at all when negotiating these carriage contracts. A small cable company has to take it up the ass when the broadcasters raise the rates. The bigger you are the better the rate will be.