Cable executives want to consolidate the industry into just two companies in the USJuly 15, 2013 5 Email article | Print article
TV has always been a rough industry to succeed in, and apparently, in the wake of Netflix and Hulu engaging more and more users, major cable companies are starting to feel the squeeze.
That’s why John Malone, CEO of Liberty Media, and Tom Rutledge, the CEO of Charter Communications, have banded together to encourage cable companies to consolidate their interests (and organizations) into just two companies in the US, which would most likely end up being Comcast and Time Warner Cable.
Rutledge claims that by consolidating the industry into two powerful organizations would give everyone more lobbying power to control costs and leverage the media companies that supply TV programs, as well as giving them more advanced resources for investing in new technologies. We think consolidating the industry will result in less innovation and higher prices. Let’s see what happens.