Industry Analyst Jeff Kagan on Comcast Shedding Customers to Win TWC Approval
April 28, 2014 --
Atlanta, GA (PRWEB) April 28, 2014
In an effort to get the proposed $45 billion takeover of Time Warner Cable approved, Comcast is making a proposal, says Reuters, Apr. 28.
Comcast has offered to sell 1.4 million cable television subscribers to Charter Communications Inc for $7.3 billion. It also said it would divest another 2.5 million customers into a new, publicly traded company called SpinCo, where Comcast would own two thirds and Charter one third.
Industry analyst Jeff Kagan offers comment.
Comcast wants to acquire Time Warner Cable and is willing to grease the industry to let the deal slide though more easily. Whether this deal is approved is a matter of solving two problems. Says Tech analyst Jeff Kagan.
Comcast really wants to make this deal more attractive to regulators so it will be approved. Thats why this proposal was made. This kind of proposal is always made to satisfy regulators. The next question is will regulator require more? Typically when the President is a Democrate the regulators do want more to give approval. Says Principal analyst Kagan.
So while this Comcast offer helps, will it be enough is the question. For this deal to win approval, two things have to happen. One is any problems have to be cleared away. Two is there has to be a reason for regulators to see this deal positively impacting the marketplace.
This new Comcast offer moves in that direction, but the question is will it be enough? I think regulators will look for much more than this to give approval, but this may be a good start. Says Kagan.
About Jeff Kagan
Jeff Kagan is a Technology Industry Analyst, consultant and columnist. He is regularly quoted by the media and shares his opinion in many ways over 25 years.
He offers comment to reporters and journalists on wireless, telecom, Internet, cable television, IPTV and other tech news stories.
Kagan is also known as a Tech Analyst, Wireless Analyst, Telecom Analyst and Principal Analyst.
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