The decision by Comcast to walk away from the $45.2 billion merger deal with Time Warner Cable has surprised a few and some still exist who are not astonished by the event. Comcast has now officially announced that it is walking away from the merger deal.
Comcast has made the announcement after the company had its meetings with the United States Department of Justice and the Federal Communications Commission. The deal had been in troubled waters for weeks now and termination was probably just a matter of time.
Comcast is currently the largest video and Television service provider across the United States of America. The experts believe that the with the popularity and the authority that Comcast has in the United States, it could well erase out all its competition in due time.
In fact, the user base of Comcast is spread over a wide geographical area, allowing the TV service provider to hold its position as a major player in the industry across all the states. This authority that Comcast has, is one of the main reasons why many critics did not want Comcast to agree to the $45.2 billion merger deal.
The merger deal was initially announced in February 2014 and the deal was expected to be signed by the end of 2014 or early 2015. If the $45.2 billion merger deal would have been signed, Comcast and Time Warner Cable would have taken in more that 50% of the Television and Internet market share. Comcast currently holds around about 35% of the share. Now what went wrong with the deal is still not clear on all the fronts, but one will have to wait to see how things develop in the future.