Trump Wants to Use AT&T Merger as 'Leverage' Over CNN While most insiders still believe that AT&T's $89 billion acquisition of Time Warner will be approved with few conditions, the Trump White House still apparently believes it can use the threat of blocking the deal as "leverage" to force favorable coverage from Time Warner owned CNN. CNBC reported this week that insiders predict the deal to close in the next sixty days, regardless of worries from consumer advocates about the anti-competitive impact of the deal.

The New York Times subsequently reported this week that "White House advisers have discussed" the merger as being used as a "potential point of leverage over their adversary," CNN. The Daily Caller also reported this week that the administration may try to require CNN boss Jeff Zucker to be fired as a condition of the deal. That said, this may all be sound and fury, signifying nothing. AT&T and Time Warner already managed to eliminate the need for FCC review by selling an Atlanta TV station and avoiding any spectrum license transfers, which would have triggered FCC involvement. That means the deal only needs approval by the DOJ, where Trump appointed a new antitrust boss that has publicly stated he doesn't see any problem with the megamerger. Trump repeatedly promised to block the merger on the campaign trail. "In an example of the power structure I’m fighting, AT&T is buying Time Warner and thus CNN -- a deal we will not approve in my administration because it’s too much concentration of power in the hands of too few," Trump said last fall. But most analysts doubt that the administration actually blocks the merger, even if Trump thinks CNN is mean. In part because it would run in stark contrast to the But most analysts doubt that the administration actually blocks the merger, even if Trump thinks CNN is mean. In part because it would run in stark contrast to the ultra-cozy treatment large telecom companies like AT&T have received so far under the Trump administration, but also because AT&T's precisely the type of company to do whatever's necessary to get the deal approved. Even if that means trampling editorial independence at CNN in order to scale back critical coverage of the President.







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Most recommended from 93 comments



nwrickert

Mod

join:2004-09-04

Geneva, IL 42 recommendations nwrickert Mod Betraying the constitution Dear Donald Trump,



If you, as president, were to have leverage over CNN, that would be a betrayal of our constitution which you swore to uphold.

CylonRed

MVM

join:2000-07-06

Bloom County 32 recommendations CylonRed MVM If his lips moved.... quote: Trump repeatedly promised to block the merger on the campaign trail.



"In an example of the power structure I’m fighting, AT&T is buying Time Warner and thus CNN -- a deal we will not approve in my administration because it’s too much concentration of power in the hands of too few," Trump said last fall. then he is lying - exactly like the others he complained about when campaigning. turns out - he is one of them like those who have common sense knew. then he is lying - exactly like the others he complained about when campaigning. turns out - he is one of them like those who have common sense knew. tpkatl

join:2009-11-16

Dacula, GA 14 recommendations tpkatl Member This is a tough one I don't think that AT&T should be allowed to take over Time Warner on general principles dealing with monopolies and market concentration.



But I truly abhor the idea of the corrupt President using his government power to mold the news HIS way by punishing CNN and its owners to get his way.



That's what a dictator would do. So while I may be OK with the outcome, the reason bothers me.

fuziwuzi

Not born yesterday

Premium Member

join:2005-07-01

Palm Springs, CA 9 recommendations fuziwuzi Premium Member Enough already This childish bully who currently occupies the White House threatening to use his position to wage a personal vendetta against an entity he views as an "enemy"? Let's hope he doesn't use that to start a multi-trillion dollar war he can't pay for.

cb14

join:2013-02-04

Miami Beach, FL 9 recommendations cb14 Member Welcome to Putin's America Yes, rally behind me and you will be rewarded. Oppose me and...well you won't be that foolish.