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Regulators expected to approve spectrum deal between Verizon and cable companies, demand significant concessions

Regulators expected to approve spectrum deal between Verizon and cable companies, demand significant concessions

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According to Reuters, the FCC and Department of Justice are poised to approve Verizon's purchase of spectrum from a variety of cable companies.

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According to Reuters, the FCC and Department of Justice are poised to approve Verizon's purchase of spectrum from a variety of cable companies including Comcast and Time Warner Cable. However, the government is expected to heavily modify the cross marketing portions of the original proposal due to mounting antitrust concerns. Verizon and Comcast will be forbidden from pushing the other's services in all FiOS markets, and will only be permitted to do so for a limited timeframe in other regions.

Citing three unnamed sources, Reuters describes the ongoing negotiations as "bruising," though it seems Verizon should ultimately come away rather pleased with the rumored terms. Regulators are expected to approve the spectrum aspect of the deal with few adjustments — a major victory for the number one carrier in the US. Having already taken a substantial lead in the 4G LTE deployment race, the additional spectrum will be a welcome luxury for Verizon, and likely a source of frustration for its competitors — T-Mobile notwithstanding. Then again, AT&T has already expressed interest in scooping up the 700MHz spectrum Verizon will be giving up if the purchase is approved. Still, considering the scope of this arrangement, it seems some serious concerns will persist no matter the final outcome.