DOJ's AT&T/TW Argument Based on Unsupported Claims, Says Telecom Consultant

DOJ's case against AT&T's buy of Time Warner is backed by only speculation and out-of-context statements, telecom consultant Jonathan Lee blogged Monday. He said the case (see 1711210005) has numerous "unsupported" assumptions that New AT&T could profitably raise TW programming prices; that blackouts are always worse for MVPDs than for programmers; that New AT&T will be well insulated from the threat of a rival MVPD not carrying TW content because it would pick up some defecting customers; and that New AT&T could profitably charge its own retail customers more.