Legal Technology News

AT&T, Time Warner Plan $85 Billion Merger
Download PDF
1 Star2 Stars3 Stars4 Stars5 Stars (No Ratings Yet)
Loading...

AT&T Time Warner

Summary: AT&T and Time Warner have set off on a path to merge the companies in an effort they claim will benefit consumers.

AT&T, a wireless, broadband and satellite TV giant is looking to merge their capabilities with a powerhouse in movies and television. In an official announcement by AT&T on Saturday, they stated their plan to buy Time Warner for $85 billion or $107.50 per share in a cash-and-stock deal.

  
What
Where


Despite the fact that the two companies are in different primary industries with no direct competition between themselves, it is expected that they will face challenges from regulators.  AT&T Chairman and CEO Randall Stephenson knows there will likely be concessions made to please regulators but that the deal is the natural evolution of the industry.

Read AT&T Fined $100 Million for Misleading Consumers.

“Why put the two companies together? Speed. The world of distribution and content is converging and we need to move fast and if we want to do something truly unique, begin to curate content differently, begin to format content differently for these mobile environments, and this is all about mobility.”

Get JD Journal in Your Mail

Subscribe to our FREE daily news alerts and get the latest updates on the most happening events in the legal, business, and celebrity world. You also get your daily dose of humor and entertainment!!




Time Warner Chairman and CEO Jeff Bewkes said in an interview with “Squawk Box” that consumers will have more choices with the result of the deal. Time Warner rejected an $80 billion bid two years ago by 21st Century Fox. Should Time Warner change their mind, they will have to pay a $1.7 billion termination fee. If AT&T decides to back out, they must pay Time Warner $500 million.

See Antitrust Suit Filed By DOJ Against T-Mobile USA-AT&T Deal.



Both companies see their move as the inevitable future of the market. Stephenson said, “To the extent that our strategy succeeds, I think other companies will try to look like us. And if our strategy doesn’t succeed, other companies won’t bother. So it’s a function of how well we do together in pulling the strategy off.”

AT&T bought DirecTV for $48.5 billion last year. They also plan to release a 5G mobile network that would be accelerated by the deal.

Do you think the companies should be allowed to merge? Tell us your thoughts on why the merger may not be allowed to go through.

To learn more about other major mergers recently, read Federal Trade Commission Blocks Staples, Office Depot Merger.

Photo: nripulse.com



 

Interesting Legal Sites You May Like


BCG FEATURED JOB

Locations:

Keyword:



Search Now

General Municipal Law Attorney with land use experience

USA-CA-Oakland

Oakland office of our client seeks general municipal law attorney with experience advising public ag...

Apply Now

Mid-level Restructuring Attorney with bankruptcy experience

USA-DC-Washington

Washington, D.C. office of our client seeks mid-level restructuring attorney with 4-6 years of exper...

Apply Now

Senior Land Use Attorney with experience

USA-CA-San Francisco

San Francisco office of our client seeks senior land use attorney with 7+ years of experience. The c...

Apply Now

Employment, Labor and OSHA Attorney with 3-6 years of experience

USA-TX-Dallas

Dallas office of our client seeks employment, labor and OSHA attorney with 3-6 years of experience. ...

Apply Now

RELEVANT JOBS

Attorney

USA-CA-San Francisco

As an in-house legal counsel at Wix’s legal department, you will play a significant role in de...

Apply now

Attorney

USA-MO-Kansas City

Successful, expanding KC personal injury law firm seeks an attorney with 5+ years personal injury li...

Apply now

Civil & Business Litigation / Transactional Attorney

USA-CA-Clovis

Law firm with primary emphasis in Business & Civil Litigation and transactional work, seeks confiden...

Apply now

CIVIL LITIGATION ATTORNEY - Employment

USA-CA-Fresno

Lang, Richert & Patch a Fresno area AV-rated law firm located in the highly desirable Fig Garden Fin...

Apply now

Most Popular

SEARCH IN ARCHIVE

To Top