AT&T acquisition of Time Warner is approved for $85 billion

AT&T has been making headlines this week. The carrier wants to be more competitive with the soon to be giant made of T-Mobile and Sprint, as well as media giants like Netflix and Amazon. AT&T has made changes to its plans, and now customers of AT&T might be in for something big. According to Reuters, AT&T’s request of approval to buy Time Warner has been granted and the deal will close June 20, 2018.

AT&T needed to gain approval from the courts prior to acquiring Time Warner, who had been eyed by the cellular network company for some time. In surprising news, the approval was given by US District Judge, Richard Leon on Tuesday, allowing AT&T to close out the purchase for $85 billion. US President Donald Trump tried to block the transaction from occurring, but the courts don’t seem to think the deal will have a negative impact on the transfer power. It’s not often we see major shifts like this, but they have become more common at least in the last few years with US carriers expressing interest in TV providers.

Once the deal is stamped, AT&T will instantly become the owner of CNN, HBO, TNT, TBS, the Time Warner movie studio, and its inventory of film titles. Most everyone part of these organizations will continue to work as normal, though some may be relocated closer to AT&T’s lead offices. General shifts are always the case when events such as this happen. Now that AT&T will have DirecTV and Time Warner under its belt, consumers can expect lots of options that bundle wireless service with cable packages. AT&T members might even get a few perks.

Moving ahead, mergers involving media companies now owned by AT&T are likely to happen. Since AT&T is in charge, they get the final word and will make decisions that favor their wireless business, which could condense many departments. There’s still a possibility the US Government proves that less competition for streaming services will result from this deal, which could mean a stoppage or delay to the deal that has been approved by the courts. We’ll have to wait to find out. Whatever happens, the competition has been put on notice and for good reason. Leave any thoughts in the comment section.

SOURCE [Reuters]

About Doug Demagistris 1543 Articles
Doug Demagistris is the Founder and current Editor In Chief of Droid Turf. He grew up in New York and now attends Bryant University where he is studying marketing and communication. He has been and always will be a Google enthusiast thanks to Android’s customization, flat design and exceptional integration with various Google services. Currently, Doug uses a Pixel 2 XL as his daily driver for its unique design, powerful hardware, exceptional camera, and stock experience. For shorter instances, he’ll glance at his Huawei Watch. And for more productive work, you’ll find him typing away on his Pixelbook. Doug is hopeful his productivity will make lives easier, more meaningful and help down the road.