Watchdog Praises California Vote for Charter-Cox Merger

FOR IMMEDIATE RELEASE

Contact: Kara Zupkus (224) 456-0257

WASHINGTON, D.C. – The Taxpayers Protection Alliance (TPA) is appluading the California Public Utilities Commission’s (CPUC) decision to approve the merger between Charter Communications and Cox Communications. The state’s decision was the last piece needed for the merger to go through, as the Federal Communications Commission and other state regulators had already signed off on the plan.

As part of the agreement with California, Charter promised to invest $30 million in education and awareness initiatives in California, which includes digital literacy training. The company also agreed to offer more affordable packages for low-income residents.

TPA previously filed comments with CPUC in support of the $34.5 billion merger, noting the move would serve the public interest by creating one stronger company. TPA also pointed out that Charter intends to extend its own policy of an all domestic-based sales and customer service workforce to Cox, which currently outsources many of those jobs to other countries. Charter has pledged to pay at least $20 per hour with benefits to those workers.

TPA President David Williams issued the following statements in response to the passage:

“Regulators made the right call by putting consumers first instead of bowing to political pressure to block the deal. A combined Charter and Cox means more investment in broadband infrastructure, good-paying American jobs, and affordable options for low-income families. This merger is a win for taxpayers and consumers alike.

“Despite what critics have claimed, the merger of Charter Communications and Cox Communications will not upset the competitive balance in the industry. This transaction will not create adverse horizontal effects on competition due to the limited overlap between the companies’ respective service territories,” Williams said.

“The scale of the new company will boost operating efficiencies, helping drive down service costs and enable current Cox Communications customers to benefit from Charter Communications’ bundling options and superior customer service.”

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The Taxpayers Protection Alliance (TPA) is a non-profit, non-partisan organization dedicated to educating the public through the research, analysis, and dissemination of information on the government’s impact on the economy.