An FCC order requiring Verizon Wireless, SpectrumCo and Cox to...
An FCC order requiring Verizon Wireless, SpectrumCo and Cox to file unredacted versions of various marketing agreements was “unwelcome news” for the carrier and the cable companies and a win for opponents, Stifel Nicolaus said in a research report. The…
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agreements were announced in December at the same time Verizon agreed to buy AWS licenses from the cable operators (CD March 9 p1). “While we remain skeptical the government will block the spectrum transactions and partnerships outright, we believe there could be some objections raised and related conditions imposed, and that the more the outside critics see of the commercial agreements, the greater the chance they might further identify or substantiate concerns,” Stifel Nicolaus said. Wireless Bureau letters show continuing FCC concerns with the Verizon/cable side deals, said Medley Global Advisors in a research note. “The information request likely signals the Obama Administration is uncomfortable with the proposed business arrangements in their current form and may pursue material concessions/conditions to remedy any suspected anticompetitive effects in wireless, pay-TV and broadband markets,” Medley said. “A lengthier-than-anticipated government review of VZ/cable should play well with the Democratic base in this presidential-election year even if the ultimate outcome is hard to swallow."