Boston, MA 08/12/2014 (wallstreetpr) – According to recent reports, Common Cause/NY filed a public statement of 17 pages against the proposed merger between Comcast Corporation (NASDAQ:CMCSA) and Time Warner Cable Inc (NYSE:TWC). The statement was filed with PSC (Public Service Commission).
First Announcement:
According to reports, Comcast Corporation (NASDAQ:CMCSA) first announced in the month of February about the $45.2 billion worth of the merger transaction with Time Warner Cable Inc (NYSE:TWC). Both the companies have good positions in the market. Therefore, if the merger transaction between them gets approved, then they will become the third biggest broadband provider, number two Cable Company and the largest broadband and cable network in the country.
With the help of Time Warner Cable Inc (NYSE:TWC), Comcast Corporation (NASDAQ:CMCSA) will not only control two third cabal television network of the country, but also, it will have nearly 40% of the high-speed internet market.
Public Poll:
A poll was released couple of months back in which only 11% public supported the merger transaction between TWC and CMCSA. Results also revealed that public was not in favor of the merger transaction as 56% people opposed the merger, while 32% public did not have any opinion.
Reason behind negative response:
According to reports, communities think that if executed, this merger transaction will result in higher prices, reduced incentives for good consumer service and fewer options availability for public.
Public Service Commission has said reserved the right of decision that is due in the month of October.
Comcast Corporation (NASDAQ:CMCSA) has a history that no cable operator would want to remember. It is known for imposing ‘usage based billing’ or data caps that have gathered negative response from all around the country. If the merger transaction between CMCSA and Time Warner Cable Inc (NYSE:TWC) gets executed, then public may not only lose alternative option to CMCSA’s services in the form of TWC, but also suffer from high prices and lesser options. It will be a difficult decision for PSC to make in less than two months’ time.
