US: What Netflix has to gain from Comcast/TWC deal

As authorities continue to review Comcast’s plans to acquire Time Warner Cable in a $45.2 billion cable merger, reports say online content streaming services like Netflix could benefit from the deal.

Companies like Netflix, which currently pay Comcast to ensure smooth streaming of its videos, could have a lot to gain as regulators reportedly consider banning such payments to service providers. Some online video companies have asked authorities to do so.

The Federal Communications Commission, which is reviewing the merger along with the Department of Justice, have reportedly already asked Comcast about its agreement made with Netflix last February. Netflix told authorities it was forced by Comcast to pay to ensure smooth video streaming.

In addition to banning such payments made to Comcast for smoother online content delivery, reports say the FCC is also considering forcing Comcast to repair bottlenecked online content streaming that has caused slow and lower-quality video.

Full content: Bloomberg

Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.