The U.S. Department of Justice is pushing AT&T to sell assets or come up with other ways of satisfying antitrust concerns over its purchase of Time Warner. Roselle Chen reports.
The U.S. Department of Justice is pushing AT&T to sell Turner Broadcasting, parent of CNN cable network, or its DirecTV satellite television unit to satisfy antitrust concerns over its purchase of Time Warner. The development came as a surprise to investors. Shares of Time Warner and AT&T fell. Ross Gerber, CEO of Gerber Kawasaki Wealth and Investment Management: (SOUNDBITE) ROSS GERBER, CEO, GERBER KAWASAKI WEALTH AND INVESTMENT MANAGEMENT (ENGLISH) SAYING: "This is, you know, the worst of what this administration is. It's an embarrassment to the business community that they're holding up a perfectly good deal because of Trump's personal vendetta against CNN, which is a very, in my mind, reputable news organization. So, I think that this deal is in jeopardy, and, quite frankly, I wouldn't divest CNN if I was Time Warner." U.S. President Donald Trump has accused CNN and other media of being unfair to him. He criticized the deal on the campaign trail last year, vowing that as president his Justice Department would block it. AT&T now says it doesn't know when the deal will be completed. It was announced in October 2016, and AT&T had said previously it would close by the end of this year. Both companies hope that the merger will help them better compete with Netflix and Amazon Prime Video.