One of the biggest acquisitions ever has just taken place. AT&T has purchased Time Warner for a whopping $86 billion. Time Warner is a media company that is known for producing lots of popular films, television shows, and video games. AT&T has always been known as a telecom company which provides phone and internet service. Now that they’ve acquired Time Warner, AT&T is now likely to become the number one producer of video games, movies, and television shows.
Tech companies seem to have a big interest these days in producing original content. Verizon, Google, and Amazon are companies that have all expanded beyond their original products and services to deliver something more original to their customers. Now AT&T looks like they doing the same thing. This will give them the opportunity to not only offer new services but to advertise their existing ones and attract more customers to do business with their company.
However, critics are worried about big acquisitions like this because they’re afraid it will limit the entertainment options that people have. Independent artists and producers will find it difficult to get their work out there when a big company like AT&T is building a big entertainment empire that overshadows it.
Republican presidential nominee Donald Trump even commented on the merger between AT&T and Time Warner by saying he would block the merger if he gets elected as President of the United States. Trump said it is troublesome for a company to have this much power and his administration would never approve it if he gets elected.
Customers likely won’t see any price changes in their existing Time Warner services anytime soon. But once the merger has fully been completed, then changes could be made in the prices and services that used to be available to them.