Comcast Corp. has agreed to purchase Time Warner Cable in an all-stock deal worth about $45.2 billion, in a move that will combine the top two U.S. cable operators. The boards of both companies have approved the proposed deal. The announcement likely marks the conclusion of an eight-month takeover battle waged by cable operator Charter Communications and its largest shareholder, Liberty Media. However, the proposed transaction is expected to face lengthy regulatory review. Continue reading Comcast to Acquire Time Warner Cable in $45.2 Billion Deal

The Federal Communications Commission is scheduled to conduct its first major auction of wireless airwaves in six years today. Telecom analysts at New Street Research estimate that national wireless carriers AT&T, Verizon Wireless, Sprint and T-Mobile — along with satellite TV operator Dish Network — will spend at least $46 billion on spectrum over the next two years in a series of auctions. Next year, the government plans to sell coveted spectrum in the 600 megahertz band, used by TV stations, to be resold for wireless use. Continue reading FCC Scheduled to Begin Wireless Airwaves Auctions This Week

Although Netflix apps are currently offered on over 1,000 devices, they have been absent from cable boxes. This week, Netflix launched an app on Swedish TiVo boxes used by the cable operator Com Hem, which allows viewers to see Netflix’s catalog adjacent to live TV programming. The video service announced a similar deal with cable operator Virgin in the U.K. last year, and is working with Waoo in Denmark. Netflix is looking to pair with U.S. cable operators before the end of this year. Continue reading Netflix Joins European Cable Boxes, Targets U.S. Operators

In a move toward all-digital formats, Paramount Pictures announced it will stop distributing major motion pictures in the U.S. using 35mm film. The Adam McKay-helmed “Anchorman 2: The Legend Continues” was the studio’s last film to be distributed in 35mm, while Martin Scorsese’s “The Wolf of Wall Street” became Paramount’s first wide release to be made available theatrically only in digital format. This year could mark a complete phase-out of film by major Hollywood studios. Continue reading Paramount: First Studio to Go Digital-Only with Movie Releases

Viacom is planning to launch My Nickelodeon Junior, an interactive children’s TV channel, to Verizon FiOS customers in the upcoming months. The channel uses elements of streaming services such as Pandora and Netflix, and allows parents to program the channel according to their personal taste, while accessing hundreds of old episodes of kids’ shows like “Dora the Explorer.” The channel will appear on the TV menu next to the main Nick Jr. channel.  Continue reading Viacom to Launch Personalized, Interactive Kids’ TV Channel

Charter Communications went public on Monday with its latest bid for Time Warner Cable. The $37.4 billion cash-and-stock proposal, submitted via letter from Charter CEO Tom Rutledge to TWC Chief Rob Marcus, follows three private offers submitted since June that have all been turned down by the nation’s second-largest cable company. TWC rejected the bid as “grossly inadequate.” Rutledge said Charter, the fourth largest cable operator, has no plans to increase the offer. Continue reading Charter Continues Pursuit of Time Warner Cable with New Bid

Netflix is testing a new pricing model with some of its new customers that provides streaming access to as many as four screens simultaneously, allowing household members to view different shows at the same time. Pricing ranges from $6.99 to $11.99 per month. The approach offers more ways to watch content, similar to how cable providers rent multiple set-top boxes. Netflix may also be looking for ways to curb account sharing. If successful, the new pricing could be expanded to additional customers. Continue reading Netflix Tests Subscription Model Based on Number of Users

AT&T CEO Randall Stephenson, speaking at an investor conference in New York City last week, said wireless operators can no longer afford to subsidize cutomers’ devices in an era when smartphones are upgraded so frequently. With smartphone penetration above 75 percent and soon expected to reach 90 percent, Stephenson suggests that operators need to make greater efforts to get their customers to use more of the network, as opposed to merely getting on the network. Continue reading AT&T CEO: Wireless Carriers Can No Longer Subsidize Phones

Sources confirm that Comcast, the nation’s largest cable operator with nearly 22 million video subscribers, plans to expand from renting to selling major studio movies directly through its cable boxes by the end of the year. Comcast will join streaming services such as iTunes and Vudu in offering the option to purchase titles in an evolving new window known as “early EST.” While viewers typically pay about $5 to rent a movie through VOD, digital purchases run $15-$20. Continue reading Cable Operator Comcast Has Plans to Sell Hollywood Movies

Hulu is reportedly in talks with pay TV providers including AT&T, Comcast, Cox, Time Warner Cable and Verizon regarding potential partnerships. Among the ideas being discussed is for pay TV operators to sell Hulu Plus as part of their television bundles, said people familiar with the situation. In addition, Hulu hopes that consumers would have access to the service via cable set-top boxes, providing Hulu Plus subscribers with the option to watch full current seasons of broadcast TV shows. Continue reading Hulu Discusses Bundling Possibilities with Pay TV Providers

Intel has invested heavily in its plan to stream television over the Internet, but securing access to channels has been a challenge. The company is reportedly now in advanced negotiations to sell all or part of its yet-to-be-launched venture to Verizon, according to a person familiar with the talks. Intel was originally hoping to launch its service by year’s end. Tech companies including Sony and Google have plans to launch similar services, but have encountered some of the same challenges as Intel. Continue reading Intel in Talks to Hand Over its Internet TV Project to Verizon

Kumu Networks hopes to provide a solution to the increase of smartphone users and data demands on wireless networks. Kumu claims that its technology can double the capacity of cellular and Wi-Fi communications by challenging the idea that mobile devices cannot transmit and receive data on one frequency at the same time. The Stanford University startup first emerged in 2011 when the team wrote a paper claiming two-way traffic could be carried simultaneously through a specific chunk of radio spectrum.

Continue reading Wireless: Startup Envisions Doubling Use of Radio Spectrum

DirecTV is entering the world of film financing through a new partnership with startup movie studio A24 Inc. Through the deal with A24, the satellite operator will acquire independent films in exchange for exclusive rights to offer them on DirecTV’s video-on-demand services 30 days before the indies are released theatrically. DirecTV will initially commit $40 million to co-finance and market independent films; the first acquired with A24 is the thriller “Enemy,” starring Jake Gyllenhaal. Continue reading DirecTV to Co-Finance Indie Films in Exchange for VOD Rights

Pay TV operators such as Comcast and Verizon FiOS are expanding their on-demand TV services. This is in response to Netflix, through which many users “binge” on a full season of programming in one viewing. Cable operators and media content companies differ on where they should distribute their on-demand content and are cautiously moving forward. A concern for many is the pricing structure if cable companies offer expanded on-demand services. Continue reading Cable Operators Expand On-Demand to Compete With Netflix

Last week we reported that Verizon Communications had scheduled a board meeting to discuss the possible acquisition of Vodafone’s 45 percent stake in Verizon Wireless, a deal that would be the second-largest acquisition on record and potentially lead to additional mergers across the global telecom industry. Vodafone confirmed late yesterday that terms of the deal call for Verizon to pay $130 billion. If approved by both boards, the deal could be announced as early as this afternoon. Continue reading Deal Update: Vodafone and Verizon Agree on Financial Terms