AT&T Acquires Time Warner And Becomes All-In-One Telecom-Media Powerhouse

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AT&T/Time Warner merger aims to gain an edge on competing cable companies. SAUL LOEB,STAN HONDA/AFP/Getty Images)

AT&T announced its plans to acquire Time Warner on Saturday, a business deal that will affect the future of data streaming as we know it today. So how does this super mega gigantic agreement between a major telecommunications and a major media company affect every day users? Well for one it personalizes our content mobile and home content experience and gives consumers more choices for a better value. Both AT&T and Time Warner are powerful entities on its own but together become a serious force to be reckoned with. This will give the duo an edge on the competition since it will now be able to best its cable company rivals by providing customers with the best value deals for mobile broadband and video packages.

"Each of Time Warner’s three divisions is an industry leader: HBO, which consists of domestic premium pay television and streaming services (HBO Now, HBO Go), as well as international premium and basic pay television and streaming services; Warner Bros. Entertainment, which consists of television, feature film, home video and videogame production and distribution," AT&T said in a statement over the weekend.

Across a broad range of platforms, AT&T brings with it direct-to customer distribution—this includes TV, mobile and broadband capabilities not only in the U.S. but also in Mexico (mobile) and Latin America (TV). Premium content support is Time Warner’s area of expertise and is a renowned for having an unmatched entertainment library and on top of it the biggest film and TV studio on the planet.

Warner Bros. film franchises include Harry Potter & DC Comics, and its produced TV series include Big Bang Theory and Gotham; Turner consists of US and international basic cable networks, including TNT, TBS, CNN and Cartoon Network/Adult Swim. Also, Turner has the rights to the NBA, March Madness and MLB. Time Warner also has invested in OTT (over-the-top) and digital media properties such as Hulu, Bleacher Report, CNN.com and Fandango," AT&T said Saturday.

The possibilities of direct marketing to customers are virtually endless with these two heavy hitters like AT&T and Time Warner joining forces to become one. Operating as one, AT&T-Time Warner is well prepared for the ever-evolving media and communications field.

"Owning content will help AT&T innovate on new advertising options, which, combined with subscriptions, will help pay for the cost of content creation," AT&T's announcement said. "This two-sided business model—advertising- and subscription-based—gives customers the largest amount of premium content at the best value," AT&T said about the acquisition of Time Warner. 

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