Verizon to buy giant cable operator Comcast?

Verizon to buy giant cable operator Comcast?
With AT&T discovering some synergies between its wireless operation and DirecTV, especially in sales, there is now talk about Verizon picking up Comcast in what would be a huge multi-billion dollar transaction. Comcast has been trying to get into the business of providing wireless service to mobile devices. The company actually was rumored to start up an MVNO this year using Big Red's network and 15 million Wi-Fi hotspots. But now, the latest rumor indicates a big shift in Comcast's and Verizon's thinking.

Verizon Chief Executive Lowell McAdam reportedly told friends at CES earlier this month that he has an interest in buying a cable outfit. One tipster says that Verizon will need Comcast's cable operations to help it with the launch of 5G wireless service. McAdam could be up to his neck in work as he decides what to do about Verizon's deal to buy Yahoo for $4.8 billion. Considering that as many as 1 billion Yahoo accounts have been hacked, McAdam has a serious decision to make about whether he wants to close the deal, at least at the current price.

Speaking of prices, Comcast is currently valued at $173 billion, which means that it will take a ton of cash to make this purchase. If Verizon wants cable, but doesn't want to spend so much money, the nation's largest carrier can go after cable firm Charter Communications; the latter sports a market cap of $81.64 billion, less than half Comcast's valuation.

Despite the rumors, Verizon is supposedly not in talks with any cable company at the moment.

source: NYPost

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14 Comments

1. tedkord

Posts: 17356; Member since: Jun 17, 2009

That sounds like a good idea. It's got to be good for consumers, considering how good each company's customer service is.

4. kiko007

Posts: 7493; Member since: Feb 17, 2016

The sarcasm is strong with this post.

11. emvxl

Posts: 140; Member since: Sep 29, 2009

Verizon + customer service = oxymoron

2. jeroome86

Posts: 2314; Member since: Apr 12, 2012

Hope this doesn't happen. I have comcast but if Verizon buys it then I'm out. Fu Verizon. Never again will you get a dime from me.

3. torr310

Posts: 1659; Member since: Oct 27, 2011

Instead of seeing the first two tiers in mobile industry get bigger, I prefer to see either Tmibile or Sprint catch up. That way the consumers have more choices and it keeps the competition going.

5. Mreveryphone

Posts: 1821; Member since: Apr 22, 2014

Google Fiber here I come!

6. CreeDiddy

Posts: 2188; Member since: Nov 04, 2011

Would love to see this happen since I have been a life long VZ subscriber

7. JunitoNH

Posts: 1946; Member since: Feb 15, 2012

A marriage made in heaven. Two of the most hated companies, becoming one.

9. TheOracle1

Posts: 2260; Member since: May 04, 2015

Two slimeballs merging to create one huge slimeball.

8. md227a

Posts: 228; Member since: Mar 20, 2012

Do you want a monopoly? Because that's how you get monopoly's!

10. djcody

Posts: 228; Member since: Apr 17, 2013

Not going to happen, will be blocked by FCC after pressure from people

12. tedkord

Posts: 17356; Member since: Jun 17, 2009

The FCC will have zero power, if it even still exists, in the next month or so. Why do you think these companies are raising their BS fees right now? It's because they know that for the next four years, they can do whatever they want. This country is screwed.

13. JunitoNH

Posts: 1946; Member since: Feb 15, 2012

Not with this new administration. The new cabinet is full of millionaires. Verizon headquarters is in NJ, Trump is from NY. If this story is true, I see this flying through without a wrinkle. Get ready for some real pain, for the next four years.

14. Marslander

Posts: 160; Member since: Jan 08, 2015

A match made in Gehenna.

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