AT&T’s takeover of Time Warner worries Washington

monopoly (1)AT&T’s  proposed $85 billion takeover of Time Warner is worrying US Democrats and Republicans making it more likely that regulators will have a close look at the merger.

The deal announced two weeks before the 8 November election, appears to be a gamble that Democratic presidential candidate Hillary Clinton will win and continue a hands off policy on antitrust and regulatory enforcement.

The man who wants to be the first Orange president of the US Republican candidate Donald Trump, has said he would block the takeover. He claims the acquisition of Time Warner, which owns CNN and Warner Bros, Hollywood’s largest film and television studio, would concentrate too much power in one organisation which is not owned by his chum Rupert Murdoch. Trump has not worked out yet that the president has very few powers to block such a merger and it is actually the job of the Justice Department.

Clinton spokesman Brian Fallon told reporters on Sunday she had a number of questions and concerns about the deal but there’s still a lot of information that needs to come out before any conclusions should be reached.

AT&T has described the deal as a “vertical merger” because there is no overlap between the two companies and hopes that such a tie-up will get the regulatory green light by the end of 2017.