Why an AT&T antitrust victory could spark a battle for most of Rupert Murdoch's empire
This summer, Disney’s efforts to amass more entertainment assets could be checked by Comcast
ANGELO YOUNG
MAY 26, 2018 2:00PM (UTC)
Like the nemeses from a fantasy drama, a game of thrones is playing out in the world of digital media, and by summer we could witness an epic battle erupting between titans vying for control of a media kingdom currently ruled by Rupert Murdoch.
In one part of the large and complicated map is AT&T, the world’s largest telecommunications company, which is fighting U.S. antitrust authorities for the right to buy Time Warner, the third-largest entertainment company, whose holdings include major television, news and movie assets, including HBO, CNN and TNT.
The $85 billion deal would not only give AT&T ownership of content for its 40 million video and broadband customers but also immense leverage to charge rival distributors like Verizon and Charter more for access to programming. The telecom company denies its acquisition of Time Warner would lead to higher prices, but the Justice Department and critics of the trend toward consolidation between two industries view their borders as increasingly blurry.
“Leverage matters in video content negotiations because millions of dollars change hands depending on who blinks first,” Makan Delrahim, head of the Justice Department’s antitrust division, said in court filing earlier this month.
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https://www.salon.com/2018/05/26/why-an-att-antitrust-victory-could-spark-a-battle-for-most-of-rupert-murdochs-empire/