Report: Comcast Also Eyeing Time Warner Cable Acquisition
by Karl Bode 12:02PM Friday Nov 22 2013 Tipped by sortofageek
CNBC has thrown another wrinkle in the cable merger and acquisition soap opera with a report that claims Comcast may also be sniffing around the possibility of acquiring Time Warner Cable. Anonymous sources tell the business news network
that the company has been closely examining any regulatory hurdles that could arise should they pursue an acquisition deal.
The source also tells CNBC the Time Warner Cable -- should it even decide to sell itself -- would want Comcast as its preferred buyer. Shortly after the CNBC story aired, The Wall Street Journal
posted another story claiming that it was actually Time Warner Cable that first reached out to Comcast:
Time Warner Cable has reached out to Comcast to discuss a possible combination in recent months, in an effort by Time Warner Cable to head off a bid from Charter Communications Inc.and its largest shareholder, Liberty Media Corp, people familiar with the situation say. The two companies aren't in "active discussions," the people said, noting the two companies have had similar discussions off and on over the past several years.
While Time Warner Cable and Comcast don't directly compete, regulators could raise potential antitrust issues with growing vertical integration between broadcasters (NBC) and the companies owning the conduit into your home. Cable M&A rumors have absolutely exploded in recent months with investors making plenty off of the resulting rumor stock surges.Update
: Now an additional report
by Bloomberg indicates Charter and Comcast have discussed a joint acquisition and subsequent dissection of Time Warner Cable:
The talks between Comcast and Charter have been preliminary, and a Time Warner Cable breakup is one option amid several under consideration, said the people, who asked not to be identified because the matter is private. Parts of Time Warner Cable would complement each company’s coverage area, the people said.
64 comments .. click to read
|reply to cypherstream |
Re: Might be a good thing
Comcast is already huge. The companies dont compete so it doesnt matter much.
|reply to andyross |
Re: TWC users could get better Internet?
Speed means nothing if it's capped. The ISP that I run offers 100Yb/s symmetrical (subscribers are limited to 0 bytes per millennium).
One good thing is that TWC users could see better Internet speeds. Looking at the site, they don't have very high speeds, and the upstream is typically only 2M on all but the most expensive tiers (bonded upstream really helps there.)
On the other hand, I don't know what it would do video-wise.