The Internet Reacts to Comcast Outbidding Disney for Fox Assets

AT&T buys Time Warner for CNN

The Internet Reacts to Comcast Outbidding Disney for Fox Assets

The industry is now turning its eyes to another potential megamerger - the fight between Comcast and Disney to acquire 21st Century Fox.

"Now, more than ever, we need reinvigorated regulatory oversight of the video marketplace - such as program access and program carriage rules - to ensure that smaller distributors and programmers, and consumers, aren't harmed by an increasingly uncompetitive market", the advocacy group Public Knowledge said in a statement.

Roberts reportedly expressed disappointment in Fox's decision to move forward with a deal between Disney over Comcast's first all-cash offer and opted to offer a better deal following the approval of the At&T-Time Warner merger.

Comcast Corp (CMCSA.O) offered $65 billion on Wednesday to lure Twenty-First Century Fox Inc (FOXA.O) away from a merger with Walt Disney Co (DIS.N), setting up a bidding war between two of the largest USA media companies with its 20 percent higher offer.

The Judge's ruling included a message to the government. The deal was announced in October 2016 and quickly denounced by Trump.

Harry Litman is the former U.S. attorney for the Western District of Pennsylvania and deputy assistant attorney general in the Department of Justice.

Murdoch, 87, also wasn't swayed by Comcast's overtures because the cable company didn't offer a breakup fee. Some suspected, however, that the real motivation behind the DOJ's case may be personal and political agenda of Donald Trump himself: He sees CNN as his political nemesis, and CNN is owned by Time Warner.

Shares of Comcast, Fox and Disney were barely changed in after-hours trade.




In making that ruling, Leon reaffirmed the judiciary's traditional tolerance for "vertical integration" - the technical term for mergers between companies that operate related, but distinct, businesses.

But a court ruling this week on a similar merger may have alleviated those worries.

AT&T is known to most consumers as a telecom company, offering cable, internet and phone services, but this is just the latest in a line of mergers from such companies trying to break into the media landscape.

The Justice Department is not likely to be put off by the loss, said Amy Ray of the law firm Cadwalader, Wickersham & Taft LLP, noting it had prevailed in stopping other mergers between rivals. Last fall, he presented AT&T and Time Warner with two options: Sell the majority stake in either DirecTV or Turner Broadcasting.

A US court ruled that AT&T's deal for media giant Time Warner could go ahead over the objections of the US Department of Justice, which anxious that the combination would raise prices for consumers. It was, Trump said, "a deal we will not approve in my administration".

Government lawyers had argued that the takeover would hurt innovation and allow AT&T to charge rival providers more for its must-have content - costs that would ultimately be passed on to consumers.

AT&T Chairman and CEO Randall Stephenson argued the company's proposed $85.4 billion takeover of Time Warner is necessary to compete against companies like Amazon, Facebook, and Google.

But Salil K. Mehra, a professor at Temple's Beasley School of Law and an expert on antitrust, said "this is a fearless new world in which leverage issues and the data collection on individuals make it harder to predict what will happen".

Latest News