At a hearing on Capitol Hill on Wednesday that was being closely watched for how mega-mergers will be viewed in the coming Trump administration, members of a Senate Judiciary subcommittee that oversees regulatory agencies that decide on mergers said the deal merited tough scrutiny. The chief executives of AT&T and Time Warner were grilled at the hearing about a range of issues related to the deal.
But in a change from previous comments, lawmakers also questioned whether traditional ways of evaluating mergers are growing outdated as Silicon Valley companies like Facebook and Google become massive media platforms that threaten the television industry. Their tone was more circumspect than those that immediately followed the deal’s announcement, when lawmakers had been more critical.
Fourteen months after unveiling a $45.2 billion merger that would create a new Internet and cable giant, Comcast Corp. is planning to walk away from its proposed takeover of Time Warner Cable Inc., people with knowledge of the matter said.
The decision marks a swift unraveling of a deal that awaited federal approval for more than a year. Opposition from the U.S. Justice Department and Federal Communications Commission took shape over the past week, leaving officials of the two companies to conclude the deal wouldn’t pass muster.