Media industry ripples from Comcast-TWC merger

The media industry is busy evaluating the impact of a Comcast-Time Warner Cable merger even if the DOJ clips the size of the deal a bit.

A key word for content providers today is leverage. A larger Comcast (CMCSA), (broadband and Pay-TV) would give it additional clout in negotiating retransmission contracts with networks (CBS, FOXA, AMCX, DISCA, SNI) and studios (DIS, TWX, LGF, SNE, DWA, VIAB) for home video sales.

The relationship between streaming firms and Comcast could get more complicated. Though studios rake in money from Netflix, if Comcast ever decides to charge its massive base of broadband subscribers on a usage basis - both Netflix (NFLX) and Hulu are in harm's way.

Companies with future ambitions in the online TV area (think Sony) might see additional pressures from a larger Comcast. In theory, the media giant could launch a similar national service.

Related ETFs: PBS

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Comments (5)
  • Sakelaris
    , contributor
    Comments (2708) | Send Message
    And the government has to approve this deal. Will it get a rubber stamp?
    13 Feb 2014, 03:06 PM Reply Like
  • nautor42
    , contributor
    Comments (194) | Send Message
    Assuming this goes thru, it's not difficult to see TV going into the ala carte mode sooner than later. If Comcast/TW think this will give them carte blanche power with content providers and customers they're in for a surprise. Content providers aren't in the mood to offer discounts on subscription fees, and viewers/users already think cable costs are way too high. I see this as an opportunity for content providers to partner w/ tech cos like APL and MSFT (Xbox one) to come up with a whole new model for home viewing.
    13 Feb 2014, 03:52 PM Reply Like
  • scott trader
    , contributor
    Comments (7138) | Send Message
    Interesting news flash today comcast is Possibly slowing down netflix streaming speed......
    13 Feb 2014, 07:39 PM Reply Like
  • seborrhea
    , contributor
    Comments (6) | Send Message
    That's because there idiots, if my cable company ever slows my connection because I steaming netflix I will drop those hosers so fast it will make there head spins, yea yea yea, if there was only one cable company in the area I can't do that, but fortunately I have three different companies, I am long on netflix, oh and do you know what drives netflix stock up, people make money on it every day, people day trade the crap out out of it. And make money, ps that's what drives every stock up. People trying to make money.
    14 Feb 2014, 09:41 AM Reply Like
  • scott trader
    , contributor
    Comments (7138) | Send Message
    Comcast is always trying to slide something by.....changing prices , download speeds , etc if you don't call and complain they will slow your upload and download speeds.....
    15 Feb 2014, 11:22 PM Reply Like
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