AT&T CEO Randall Stephenson remains steadfast that the $85 billion merger with Time Warner will lead to innovation and increased competition with cable providers. Ultimately, that means better prices for consumers, he said.
Even Dallas Mavericks owner Mark Cuban went to bat for Dallas-based AT&T (NYSE: T).
“We believe the benefits are straightforward and they’re substantial,” Stephenson told senators.
“We believe the benefits are straightforward and they’re substantial.”
But members of the Antitrust, Competition Policy, and Consumers Rights subcommittee of the U.S. Senate were skeptical of Stephenson’s claims, and the hearing got contentious at times, the Dallas Business Journal reported.
Cuban pointed out that social media giants are merging with other forms of social media and are miles ahead of AT&T and Time Warner. He said it will be difficult if not impossible for them to compete on their own.
AT&T is a telecom and entertainment services provider, while Time Warner is an entertainment content producer.
Ultimately, the Department of Justice will have the final decision on the proposed merger.
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