Latest news with #cablecompanies
Phone Arena
24-05-2025
- Business
- Phone Arena
Consumers are beginning to turn away from AT&T, T-Mobile, and Verizon, new data shows
Consumer anger over what has been termed as predatory practices is moving beyond social media. AT&T , T-Mobile , and Verizon have all raised prices in recent months. As a result, rivals including cable companies that have branched out into telecommunication and Mobile Virtual Network Operators (MVNOs) are gaining customers at a fast clip. AT&T Verizon Cox, which has decided to merge with Charter, has approximately 200,000 mobile lines, which is impressive given the company only started offering mobile services across all its markets in January 2023. The company is believed to have been adding 20,000 to 25,000 phone lines every quarter, per data from research institute MoffettNathanson shared by Light Reading . Cable companies have become a threat for AT&T, T-Mobile, and Verizon. | Image Credit - MoffettNathanso Overall, the cable industry accounted for 18 percent of total mobile industry gross additions, which is the total number of subscribers added in a period without accounting for cancellations. While impressive, this performance wasn't enough to beat out the Big 3 outdo T-Mobile (around 30 percent), Verizon (nearly 27 percent), and AT&T (approximately 24 percent). It's easy to make a connection here: some, if not all, of the postpaid pain has been inflicted on AT&T , T-Mobile , and Verizon by cable companies.
Fast Company
16-05-2025
- Business
- Fast Company
Charter and Cox's big cable-TV merger will ramp up the Spectrum brand in the cord-cutting era
On Friday, cable companies Charter Communications and Cox Communications announced that they've agreed to merge. Charter will acquire Cox in a deal valued at $34.5 billion. This is one of the biggest deals of the year. Charter, known more widely by its brand Spectrum, is one of the largest television communications operators in the country. The proposed transaction will result in Charter acquiring Cox's commercial fiber and managed IT and cloud businesses, and Cox will contribute its residential cable business to Charter. The joint press release noted that the merger will 'create an industry leader in mobile and broadband communications services, seamless video entertainment, and high-quality customer service delivering powerful benefits for American employees, customers, communities, and shareholders.' Charter CEO Chris Winfrey said, 'This combination will augment our ability to innovate and provide high-quality, competitively priced products, delivered with outstanding customer service, to millions of homes and businesses.' Cox will own around 23% of the combined entity's fully diluted shares, the companies said. As part of the deal, the combined entity will assume Cox's estimated $12 billion in outstanding debt. Charter (NYSE: CHTR) stock was up around 2.58% in early trading on Friday. Cox is a privately held company. Here's what to expect from the merger The deal is expected to close at the same time as the previously announced Liberty Broadband merger. The combined company will change its name to Cox Communications within a year of the deal closing. Spectrum will become the consumer-facing brand. Winfrey will continue to serve as CEO. The combined company will remain headquartered in Stamford, Connecticut, and plans to maintain a significant presence at Cox's campus in Atlanta, Georgia. Cable companies struggle to retain pay-TV subscribers Why is this strategic merger being announced? Cable companies have experienced dwindling pay-TV subscriber rates as customers ' cut the cord ' by canceling cable subscriptions and switching to streaming services. As a result, the industry has invested heavily in broadband and mobile. According to the latest 'cord-cutting monitor' report from analyst firm MoffettNathanson, Charter has continued to lose pay-TV customers along with the rest of the industry. In Q4 of 2024, the cable giant lost 123,000 pay-TV subscribers. The company experienced a reduction of 1.2 million pay-TV customers throughout the year. Collectively, the cable industry is expected to continue to shed pay-TV subscribers in the coming years, declining from 67.7 million subscribers at the end of last year to 51.5 million by 2028, according to MoffettNathanson's projections. The firm says the growth of streaming services that replicate the cable bundle won't be enough to offset the downward trend. Charter will acquire Cox's existing 6 million subscribers if the deal closes as planned. The planned merger awaits approval from Charter shareholders and regulators. The proposed deal will further test regulators' appetite for large mergers in the Trump era. A decade ago, Comcast and Time Warner Cable (TWC) abandoned their proposed $45.2 billion combination amid concerns from the Department of Justice (DOJ) and the Federal Communications Commission (FCC).
Associated Press
16-05-2025
- Business
- Associated Press
US cable giants Charter and Cox pursue $34.5 billion merger
Charter Communications and Cox Communications will pursue a $34.5 billion merger, a tie-up that would combine two of the largest cable companies in the U.S. Charter said Friday that it will acquire Cox Communications' commercial fiber and managed IT and cloud businesses. Cox Enterprises will contribute Cox Communications' residential cable business to Charter Holdings, an existing subsidiary partnership of Charter. The transaction includes $12.6 billion of debt and other obligations. The combined company will change its name to Cox Communications within a year after closing. It will keep Charter's headquarters in Stamford, Connecticut, and have a significant presence on Cox's Atlanta, Georgia campus following the closing.
