Netflix Inc has advised the US Federal Communications Commission to reject the pending $ 48 billion merger of AT&T Inc and DirecTV unless its concerns about the deal are addressed.
On Tuesday, a Netflix spokeswoman said that the video streaming company hasn’t oppose the merger in principle but is rather seeking remedies that would be helpful in resolving its competitive concerns.
In a statement, the spokeswoman, Anne Marie Squeo said, “While we are participating in the government’s review, we are not opposing the merger. We’ve been highlighting concerns about AT&T’s broadband practices and the need for appropriate remedies since last September”.
As per the regulatory disclosures posted on Tuesday, the representatives of Netflix have recently met with over 20 FCC officials. They have raised concerns about the combined company’s gatekeeping power as it would become the country’s largest pay-TV provider with potentially expansive broadband reach.
Although the filing hasn’t amount to a formal ‘petition to deny’ the merger, but it has marked the strongest language yet from Netflix on the proposed merger of the No. 2 wireless carrier and the largest US satellite-TV company. In the previous FCC filings on the deal, Netflix has called for approval with conditions.
Squeo said that the combination of these companies would be increasing the incentive and ability to limit competition and innovation in the online video space.
Netflix’s meeting with the FCC’s merger reviewers on April 30 came just days after the agency’s strong opposition proved helpful in thwarting another mega-deal between the two largest US cable providers, Comcast Corp and Time Warner Cable Inc.
The growing online video and over-the-top video markets have become a critical issue in the review of that merger. It has been fueled by heated opposition from Netflix, Dish Network Corp, some media companies and public interest groups.
No comments:
Post a Comment