Charter Communications confirms bid to buy Time Warner Cable

The companies expect to close the deal by the end of 2015.

Charter Communications has confirmed it plans to acquire of Time Warner Cable, a deal that if approved would create the second-biggest cable operator in the U.S.

Cable operators are under pressure from a new generation of companies such as Netflix that offer competing video services, and Charter is hoping scale will help it compete more effectively. It values the deal at US$78.7 billion including assumed debt.

Charter also plans to acquire Bright House Networks, a smaller cable company. If successful, the deals would make Charter, currently the fourth-biggest cable company in the U.S., second only to Comcast. The combined entity would serve 23.9 million customers in 41 states.

This is Charter's second attempt to buy Time Warner Cable. After its first offer was rejected, competing cable operator Comcast in 2014 made its own bid. That deal, however, also fell apart in April after the U.S. Federal Communications Commission referred the proposed acquisition to a hearing in front of a judge. The move effectively killed that plan because of the time and effort it would have taken.

The U.S. Department of Justice had also reportedly been leaning toward blocking the merger on antitrust grounds, should it have received FCC clearance.

Charter is hoping to convince regulators that this deal makes more sense, and will result in faster broadband speeds, better video products including more high definition channels, more affordable phone service, and more competition for consumers and businesses, it said. But irrespective of how it's pitched, it is far from a sure thing.

(Marc Ferranti in New York contributed to this report)

Send news tips and comments to mikael_ricknas@idg.com

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags Mergers and acquisitionsbusiness issuestelecommunicationCarriersTime Warner CableCharter Communications

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Mikael Ricknäs

IDG News Service
Show Comments

Cool Tech

Toys for Boys

Family Friendly

Stocking Stuffer

SmartLens - Clip on Phone Camera Lens Set of 3

Learn more >

Christmas Gift Guide

Click for more ›

Brand Post

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Aysha Strobbe

Microsoft Office 365/HP Spectre x360

Microsoft Office continues to make a student’s life that little bit easier by offering reliable, easy to use, time-saving functionality, while continuing to develop new features that further enhance what is already a formidable collection of applications

Michael Hargreaves

Microsoft Office 365/Dell XPS 15 2-in-1

I’d recommend a Dell XPS 15 2-in-1 and the new Windows 10 to anyone who needs to get serious work done (before you kick back on your couch with your favourite Netflix show.)

Maryellen Rose George

Brother PT-P750W

It’s useful for office tasks as well as pragmatic labelling of equipment and storage – just don’t get too excited and label everything in sight!

Cathy Giles

Brother MFC-L8900CDW

The Brother MFC-L8900CDW is an absolute stand out. I struggle to fault it.

Luke Hill

MSI GT75 TITAN

I need power and lots of it. As a Front End Web developer anything less just won’t cut it which is why the MSI GT75 is an outstanding laptop for me. It’s a sleek and futuristic looking, high quality, beast that has a touch of sci-fi flare about it.

Emily Tyson

MSI GE63 Raider

If you’re looking to invest in your next work horse laptop for work or home use, you can’t go wrong with the MSI GE63.

Featured Content

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?