Why the Comcast-Time Warner merger is bad for consumers

With new video, Consumers Union urges the public to contact regulators to oppose the deal

Published: August 05, 2014 01:20 PM

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Consumers Union, the policy and advocacy arm of Consumer Reports, is releasing a new video today to voice its opposition to the proposed purchase of Time Warner Cable by Comcast. The merger has been big news in the telecommunications industry since early this year because it would create a giant company with 30 million subscribers, accounting for large shares of the broadband and television markets in the United States. The Federal Communications Commission and the Department of Justice must review the deal, which is viewed with suspicion by many consumers. A recent national survey conducted by the Consumer Reports National Research Center indicated that just 11 percent of the public support the merger, while 56 percent oppose it.

"Comcast is spending millions to convince frustrated consumers that our lives will be better if it's allowed to merge with Time Warner Cable," Delara Derakhshani, policy counsel for Consumers Union, said. "We created this satirical video to show why certain things—like the two biggest cable companies with lousy reputations for customer satisfaction—are not better together. If Comcast is allowed to dominate the cable and broadband markets, consumers can expect higher prices, fewer choices, and even worse customer service."

—Jerry Beilinson