Not so Dumb Pipes: Net Neutrality Dead, AT&T-Time Warner Deal

Ivan Liu Business Battlefields


The dumb pipes are not so dumb with two historic moments taken place this week.

Broadband providers have long been referred to as the dumb pipes/dumb network for not having any input into what data their users are transferring through their “pipes”. The Obama-Era Net Neutrality Rules required that internet service providers to treat web content equally. Those rules officially died on Monday this week and ends the agency’s prohibitions against internet service providers blocking, slowing down, or providing preferential treatment to a specific online site/service.

Also happened this week is the landmark acquisition of Time Warner, the later owns media properties including HBO, CNN, Cartoon Network and TBS. The acquisition deal went through a long hurdle with the Justice Department since two years ago with concerns over antitrust issues. After the most recent six-week trial, Judge Richard Leon handed a victory on Tuesday and approved its $85 billion acquisition deal.

“AT&T says acquiring Time Warner is a central part of its plan to compete with the likes of Facebook and Google for advertising dollars. It wants to use Time Warner’s content to build a new ad platform that can deliver targeted commercials based on the customer’s viewing preferences and personal data.”

The same day (10.22.2016) AT&T announced plans to acquire Time Warner, Donald Trump, then a presidential candidate, pledged to block this deal when elected.

Will the POTUS do anything?  We shall wait and see.  



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