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Wednesday, January 22, 2014

Will Comcast Godfather A Charter And Time Warner Cable Deal?

Charter has some business interests in acquiring Time Warner Cable and it seems it makes sense to get some help from "The Godfather" or in this case, Comcast Cable.  As the largest cable operator, Comcast still has interests to improve its footprint and a possible result might be that Charter would spin off some markets for Comcast's financial support.  "Charter approached Comcast last week to discuss carving up Time Warner Cable's systems and subscribers, after the second-largest U.S. cable company rejected its offer, Reuters reported."

Consolidation in the wired space has become an important need, especially to compete against telco companies like AT&T and Verizon.  With Verizon's acquisition of Intel Media, it is becoming more and more clear that their plans are to expand its footprint beyond its FIOS footprint.  With an expanded wired footprint and wireless connections for authenticated users, Comcast and Charter could both win. 

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