Collapse of Comcast-Time Warner Cable Merger Highlights Need for Competition, Investors Say

Comcast Corp. has called off its proposed merger with Time Warner Cable following careful scrutiny – and likely rejection - of the deal by the U.S. Department of Justice and the Federal Communications Commission. 

Open MIC has been working with sustainable investment firms over the past year to block the merger. Michael Connor, Executive Director of Open MIC, said:

Comcast Corp.’s failure to complete its proposed $45 billion merger with Time Warner Cable shines a spotlight on the American economy’s critical need for broadband Internet access that is faster, less expensive and more widely available. As we said last year in ourFederal Communications Commission filing opposing the merger, “a robust and competitive broadband Internet is an economic necessity. It is critical to economic growth, innovation and democratic engagement - serving the interests of business, society, and investors.” Competition on all levels – not massive industry consolidation – is what’s needed. Open MIC will continue to engage with companies and work closely with sustainable investors to achieve those goals. 

Jonas Kron, Senior Vice President and Director of Shareholder Advocacy for Trlllium Asset Management, said: 

As investors, we believe in well functioning markets that ultimately serve broad based economic growth and are beneficial to society. We are gratified that regulators apparently came to the same conclusion we have asserted for the past year: that the proposed Comcast - Time Warner Cable merger is fundamentally uncompetitive and therefore contrary to the interests of society and the economy; and ultimately for investors.

Farnum Brown, Chief Strategist and lead portfolio manager, Arjuna Capital, said:

The proposed merger of Comcast and Time Warner Cable served no one’s interests but their own.  It would have been bad for consumers, bad for competition and innovation, and ultimately bad for the US economy. We heartily applaud the FCC and Chairman Wheeler for once again acting forthrightly to protect a free, open, and competitive Internet.