Comcast too big?

Om Malik | Monday, April 11, 2005 | 12:09 AM PT | 1 comment

Broadband Reports points out that, “Comcast’s joint bid with Time Warner to purchase the bankrupt Adelphia Communications Corp.’s cable system last week faces a potential roadblock, reports the Washington Post.” As part of the 1992 Cable Act, the FCC set a limit that no single company could own cable systems reaching more than ‘30 percent’ of the nation’s customers. Comcast currently has 29% of the market. I also had pointed out that this deal could mean serious troubles for start-ups vying to get a piece of the cable broadband spending bounty.

1 comment so far

April 11th, 2005
9:48 AM PT

It would be a mistake to assume that either TW or Comcast would keep all of the Adelphia systems. Consolidation can create opportunities for smaller MSOs or even new companies as MSOs slough off systems that don’t fit in their plans. (It also can mean more consolidation in certain markets as MSOs trade or sell systems to aggregate subs.) Of course, this doesn’t answer the “is Comcast too big question” outside of the legalties.

Editorial Masthead

Carolyn Pritchard
Managing Editor
Celeste LeCompte
Special Projects Editor
Om Malik
Senior Writer
Stacey Higginbotham
Staff Writer
Wagner James Au
Contributing Editor
Liz Gannes
Staff Writer
Chris Albrecht
Staff Writer
Katie Fehrenbacher
Staff Writer
Josie Garthwaite
Staff Writer
Close
E-mail It