Franken: Comcast dropping Time Warner bid is good for consumers
U.S. Sen. Al Franken says the cancellation of the proposed Comcast and Time Warner merger is good for consumers.
The DFLer began speaking out against the deal when it was announced early last year.
Had the merger gone through, Franken said the combined company would have been far too big.
"It would have been anti-competitive," he said on MPR News with Tom Weber. "It would have not been in the public interest. We would have seen higher prices for consumers, less choice, and if it's possible with these two companies, worse service."
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City officials in Eagan are also pleased to see the bid dropped.
The St. Paul suburb asked the FCC to block the deal, saying it would have meant poor service, higher rates and slow internet connections.
Eagan Mayor Mike Maguire said he was especially concerned about Comcast's plan to transfer its Minnesota customers to a new company to satisfy regulators. Maguire says the cancellation is a relief.
"Our city is a very technology-savvy city," he said. "And we're worried that the potential merger and the spinoff of the Minnesota market would force our residents to take a step back technologically."
Comcast CEO Brian Roberts told CNBC the deal was worth trying for but it became clear the merger "wasn't going to happen."
The Justice Department said it had concerns that Comcast would have become an unavoidable internet gatekeeper. Had the merger gone through, the combined company would have controlled nearly a third of the nation's pay TV market and more than half of the broadband market.