AT&T has closed its $85 billion acquisition of Time Warner following a favorable court ruling.
The Trump Administration was opposed to the No. 2 Carrier in the United States acquiring Time Warner. In November 2017, the U.S. Department of Justice (DOJ) filed a lawsuit aimed at halting the proposed acquisition arguing that it would be harmful for consumers.
In the lawsuit, the DOJ argued that AT&T owning both DirecTV and Time Warner would provide it an unfair advantage over rival pay TV providers. U.S. District Judge Richard disagreed with the DOJ and ruled that the proposed takeover does not violate antitrust laws in the United States.
Despite the deal being closed, the DOJ still has sixty days to appeal if it should choose to do so.
Judge Leon's decision was predicted to prompt a wave of takeovers between tech and media companies in the United States. Within days, Comcast had offered to purchase 21st Century Fox' media assets in a $65 billion all-cash deal. Comcast sent a letter directly to the Fox board, attempting to sway it away from a deal with the Walt Disney Company.
Source: Reuters News Agency
In the lawsuit, the DOJ argued that AT&T owning both DirecTV and Time Warner would provide it an unfair advantage over rival pay TV providers. U.S. District Judge Richard disagreed with the DOJ and ruled that the proposed takeover does not violate antitrust laws in the United States.
Despite the deal being closed, the DOJ still has sixty days to appeal if it should choose to do so.
Judge Leon's decision was predicted to prompt a wave of takeovers between tech and media companies in the United States. Within days, Comcast had offered to purchase 21st Century Fox' media assets in a $65 billion all-cash deal. Comcast sent a letter directly to the Fox board, attempting to sway it away from a deal with the Walt Disney Company.
Source: Reuters News Agency
