Feeds

AOL/Time Warner agree to next set of concessions

They want this merger real bad. The FTC knows it

  • alert
  • submit to reddit

3 Big data security analytics techniques

AOL and Time Warner have narrowly avoided an FTC court case by agreeing to a new set of concessions before their $150 billion merger is allowed to go through. The game of bluff this time revolves around competition for Internet access.

The FTC agreed to delay any action for "no more than three weeks" after the two companies said they would offer "new proposals to address competitive issues". Does anyone else find this high-profile cat and mouse game a little tedious? Anyway, the issue this time is a guarantee of competition in the Internet access market and/or a delay on when AOL can use Time Warner's cable infrastructure.

With the two companies merged, it would be a fairly simple manoeuvre to edge everyone else out of the market. AOL has therefore agreed to give people using cable TV a choice of three ISPs. However, the FTC still reckons AOL will get an unfair headstart because it will be able to offer high-speed access from day one. It's right too.

Previously AOL said it wouldn't launch its service until at least one other company has set up against it. Fortunately, the FTC would have none of it.

It looks as though the FTC is pushing for AOL to agree and sign contracts with alternative suppliers before the merger is given the green light. AOL and Time Warner will eventually agree as long as the FTC stands its ground.

The City was a little upset on the news and both companies' shares slipped: AOL by 6.9 per cent and Time Warner by 5.5 per cent. ®

Related Stories

AOL, Time Warner confident of merger success
EC blesses AOL-Time Warner wedding
FTC starts gearing up for AOL/Time Warner battle
FTC mutes AOL/Time Warner wedding bells

High performance access to file storage

More from The Register

next story
Dropbox defends fantastically badly timed Condoleezza Rice appointment
'Nothing is going to change with Dr. Rice's appointment,' file sharer promises
Audio fans, prepare yourself for the Second Coming ... of Blu-ray
High Fidelity Pure Audio – is this what your ears have been waiting for?
Did a date calculation bug just cost hard-up Co-op Bank £110m?
And just when Brit banking org needs £400m to stay afloat
MtGox chief Karpelès refuses to come to US for g-men's grilling
Bitcoin baron says he needs another lawyer for FinCEN chat
Zucker punched: Google gobbles Facebook-wooed Titan Aerospace
Up, up and away in my beautiful balloon flying broadband-bot
Apple DOMINATES the Valley, rakes in more profit than Google, HP, Intel, Cisco COMBINED
Cook & Co. also pay more taxes than those four worthies PLUS eBay and Oracle
It may be ILLEGAL to run Heartbleed health checks – IT lawyer
Do the right thing, earn up to 10 years in clink
prev story

Whitepapers

Top three mobile application threats
Learn about three of the top mobile application security threats facing businesses today and recommendations on how to mitigate the risk.
Combat fraud and increase customer satisfaction
Based on their experience using HP ArcSight Enterprise Security Manager for IT security operations, Finansbank moved to HP ArcSight ESM for fraud management.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Five 3D headsets to be won!
We were so impressed by the Durovis Dive headset we’ve asked the company to give some away to Reg readers.
SANS - Survey on application security programs
In this whitepaper learn about the state of application security programs and practices of 488 surveyed respondents, and discover how mature and effective these programs are.