Monday, the Department of Justice (DOJ) filed a lawsuit to block the merger of AT&T and Time Warner. The $85 billion deal would give AT&T control of Time Warner’s content, which includes HBO and CNN. The DOJ believes that the merger would give AT&T, which owns DirecTV, an unfair advantage by allowing them to charge large fees to competitors to distribute Time Warner’s content. AT&T feels this is a vertical merger that doesn’t eliminate competition and should be allowed to go through. This lawsuit raises the question: Was the Department of Justice right to try to block the AT&T/Time Warner merger?
In the following video clip, Fox Business covers AT&T’s response to the DOJ lawsuit:
Was the Department of Justice right to try to block the AT&T/Time Warner merger? Would the merger basically give AT&T a monopoly? Or, is the block an attack by the Trump administration on CNN?
Page 2: Arguments in support of the DOJ