The Honorable Tom Wheeler
Chairman
Federal Communications Commission
445 12th Street SW
Washington, DC 20554
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WASHINGTON, DC 20510-2309 ~~ ~\
May 26, 2015 ~ ~
The Honorable Loretta Lynch i~
Attorney General
u.S. Department of Justice
950 Pennsylvania Avenue NW
Washington, DC 20530
Al FRANKEN
MINNESOTA
Dear Chairman Wheeler and Attorney General Lynch:
I ask that you carefully review Chmiel' Communications' proposed merger with Time Warner
Cable (TWC) and acquisition of Bright House Networks (BHN) to determine whether these
transactions are in the best interest of the American public. I have long been concerned about the
effects of consolidation in the telecommunications industry on American consumers. Any deal of
this size and scope warrants scrutiny.
For my part, Iwill be examining this deal in the coming weeks, and Iurge the Federal
Communications Commission (FCC) and the u.s. Department of Justice (DOJ) to look closely
at the consequences for Americans' access to vital telecommunications services and the
corporate interests at stake. To protect the American people, it is essential that regulators
thoroughly examine the proposed deal and, if allowed to proceed, consider the need for strong
and enforceable consumer protections to guard against any anti-competitive effects and to
promote the public interest.
As the industry currently stands, "New Charter" would be the second largest multichannel video
programming distributor, with 17.3 million video subscribers, and it would control up to 30
percent of the broadband market under the recently updated standard for high-speed Internet
service (i.e., requiring a minimum download speed of25 Mbps). In the companies' joint
announcement today, they stress that their combined scale would allow "New Charter" to
provide improved telecommunications services at more competitive prices. They further commit
to expanding and improving access to broadband Internet for low-income customers. In
assessing the promised benefits to consumers, the FCC and DOJ should consider the companies'
current practices, the competitive landscape and their incentives to serve the public interest post-
transaction, and the extent to which the new company could be held accountable for its stated
commitments.
With only a handful of cable and Internet companies currently controlling the market, the burden
is on Charier Communications, TWC, and BHN to prove that this proposed deal and further
concentration of the industry would affirmatively benefit consumers. Those with an interest in
combining these companies must demonstrate that their combined scale will lead to increased
affordability, quality, and expansion of telecommunications services for consumers across the
nation.
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WWW.FRANKEN.SENATE.GOV
As always, thank you for your attention to this matter. Should you have any questions, please do
not hesitate to contact Leslie Hylton on my staff at Leslie_Hylton@judiciary-c1em.senate.gov or
(202) 224-5204. I look forward to continuing to worlewith you as you evaluate Chmiel'
Communications' proposed transactions.
Sincerely,
United States Senator
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