The government said that AT&T-Time Warner Merger is illegal because it might impair cable television competitors including the subscribers. The merger also threatens net neutrality.
The AT&T’s acquisition of Time Warner Cable is almost finalized but the U.S. Justice Department intervened last November to oppose it. The obtainment costs more than $85 billion. People theorize that the DOJ’s move is to get in with President Trump. It is no secret that Trump dislikes the CNN network owned by Time Warner.
The government, however, said that it is interfering the AT&T-Time Warner merger because it will not be beneficial to the consumers. The DOJ said that the merger will make customers to pay more in the end than what they currently pay to watch their favorite TV shows.
But AT&T (owner of DirecTV and U-verse) opposes the justice department saying that it will work for the consumers. The telco added that the department is applying an erroneous description to create expectations regarding the process of its operation. They attest that the AT&T-Time Warner merger is important to challenge massive tech firms such as Amazon, Apple, and Google. These giant companies are starting to develop their own streaming services including TV programming.
The government assesses that the deal will accrue 45 cents of the monthly cable bill of an average subscriber. It appointed U.S. District Judge Richard Leon to handle and decide on the case that was moved to Thursday because of the bad weather.
The Congress should remember that the late President John F. Kennedy admonished them to endorse a consumer bill of rights. He said that “the interest of consumers are in the interest of us all.” He likewise mentioned that it is the federal government’s obligation to be watchful regarding the needs of the consumers and to promote their interests.
If the AT&T-Time Warner merger is approved, how many consumers will be affected? They will soon be deprived of their freedom to access apps, websites, and contents they are already accustomed to. The worst part is, for them to have an access again or watch their favorite programs, they will need to shell out extra cash. Yes, this shows how much this merger threatens net neutrality that the people are enjoying right now.
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