Charter Communications-Time Warner deal nears approval
Charter Communications, one of the largest cable telecommunications companies in the country, announced its intentions in May 2015 to merge with fellow industry leader Time Warner Cable. Since then, company officials have met with state and federal regulators to gain legal approval and finalize the terms of the deal.
Charter has already gained approval in most states in which the newly merged company requires approval to operate. Most recently, a California administrative judge ruled that the California Public Utilities Commission should approve the deal, like New Jersey and New York previously have. However, the judge attached a list of conditions that must be met to benefit consumers in order to close the deal, according to the Los Angeles Times.
President and CEO of Charter Communications Tom Rutledge remarked that this deal will allow for faster Internet speeds, innovative customer video experiences and competitive prices. Rutledge will head up New Charter, the new public parent company created through the terms of the deal, for at least the next five years, as outlined in his employment agreement.
"… [W]e will drive greater competition through further deployment of new competitive facilities-based WiFi networks in public places, and the expansion of the facilities footprint of optical networks to serve the large, small and medium sized business services marketplace," Rutledge explained. "New Charter will capitalize on technology to create and maintain a more effective and efficient service model. Put simply, the scale of New Charter, along with the combined talents we can bring to bear, position us to deliver a communications future that will unleash the full power of the two-way, interactive cable network."
While company officials wait for official FCC and Californian Public Utilities Commission approval, Charter made moves to acquire Bright House Networks as well. If approved, this deal will make the newly merged company the second-largest cable company in the country.