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>From today's San José Mercury News:
AOL, Time Warner getting it from both sides: The proposed merger of AOL and
Time Warner, which recently facing the scrutiny of a very concerned European
Commission, appears to be facing another obstacle, this one tossed its way
by U.S. antitrust authorities. The Federal Trade Commission has reportedly
contacted at least three Baby Bells to determine if AOL/Time Warner's
ability to provide broadband Internet service over Time Warner's cable lines
might undermine their efforts to supply broadband over digital subscriber
lines. According to one baby Bell official, "The FTC is worried that the
merger would be the coup de grace for DSL." While Time Warner and AOL
officials have repeatedly pledged to open access to their cable lines, the
FTC isn't likely to take them at their word and instead may make those
promises a legal requirement.
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Which gives rise to the question:
AOL allows Cable Access as a legal reqmt.
Baby Bells have to - by reverse side of same coin - deliver AOL over DSL
when AOL so requests - else Bells get monopoly knuckle rap. Not that the
Bells, save SBC, are doing anything spectacular to roll out DSL anyway.
Meantime Fiber makes both Cable and DSL redundant.
Moot point, then.
Which means AOL wins, no matter what.
Gitanshu
Long AOL Volatility.
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