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fAcEtIOUs
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join:2002-03-03
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A content spinoff to avoid legal & regulatory problems

This might be a move by Comcast to divorce their content business by spinning it off from their cable business, thereby avoiding legal and regulatory problems in the future where competitors could have accused Comcast's content entities of giving Comcast special deals vs other cable & telco providers.

»www.cnbc.com/id/33123120
Comcast would merge content assets that it values at as much as $6 billion, along with cash, so that it would take a 51% ownership stake.

GE would control 49% and—as part of the spin off of NBC Universal—would be able to contribute as much as $12 billion in debt to the spun off entity, say people familiar with the negotiations.

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Sabre
Di relung hatiku bernyanyi bidadari

join:2005-05-17

That's an interesting supposition. It would probably make sense for them to spin it off in some way.

Some of their holdings, like Comcast Spectacor (which owns the Comcast SportsNet channels - along with the Flyers) might be a natural fit to be spun off like this. I wouldn't be surprised if that's their plain.



fAcEtIOUs
Premium
join:2002-03-03
kudos:4

said by Sabre:

That's an interesting supposition. It would probably make sense for them to spin it off in some way.

Some of their holdings, like Comcast Spectacor (which owns the Comcast SportsNet channels - along with the Flyers) might be a natural fit to be spun off like this. I wouldn't be surprised if that's their plan.
With all the push coming from the FCC and from Congress on net neutrality and with prohibitions about favoring your content over other companies content, spinning off an arms-length content company could give Comcast the flexibility they need if deals are made that have provisions favoring content from some companies over other companies.
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funchords
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join:2001-03-11
Yarmouth Port, MA
kudos:5

reply to fAcEtIOUs

said by fAcEtIOUs:

This might be a move by Comcast to divorce their content business by spinning it off from their cable business, thereby avoiding legal and regulatory problems in the future where competitors could have accused Comcast's content entities of giving Comcast special deals vs other cable & telco providers.
I think it's exactly that. How thin are those paper walls? (Is something like that just 'for show' or does it really protect consumers?)
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