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Senators air concerns with NBC-Comcast deal

By Kim Hart - 03/11/10 12:29 PM ET

Sen. Maria Cantwell (D-Wash.) said she opposes the $30 billion deal that would allow Comcast to acquire a majority stake in NBC Universal.

"Obviously we like media diversity in the Northwest," she said during a hearing held by the Senate Commerce Committee. "Right now Seattle is very upset with what happened to the Olympics," referring to reported problems consumers had accessing Olympics coverage online.

She is worried that, by allowing a major content producer to merge with a major content distributor, consumers could have fewer options for programming and access to that programming.

There are also concerns that Comcast's Xfinity service will extend even further the company's control over online video.

"We can't hold consumers hostage because we're building vertical integration," she said.

Sen. John Kerry (D-Mass.), raised some worries of his own.

"First, there is concern that Comcast control over the NBC stations will give Comcast leverage to charge higher prices for broadband and cable content to other cable, satellite, telephone, and Internet companies providing competing services.  That would lead to higher prices for consumers," he said. 

"Second, there is a fear that cable companies and content creators will use contractual -- and now possible ownership -- tools to lock content online onto their websites.  That could limit the potential of the Internet as a new way for consumers to get content without having to subscribe to cable or satellite services."

Sen. Byron Dorgan (D-ND) said he doesn't necessarily trust Comcast's claims that the merger is a good idea. He remembers promises that were made to Congress when Time Warner acquired AOL, which ended up not going very smoothly.

"There are a smaller number of interests in the country that determine what we read and see and hear each day," Dorgan said. "I'm concerned we have seen such diminished activity for independent programming."


Source:
http://thehill.com/blogs/hillicon-valley/technology/86211-senators-air-concerns-with-nbc-comcast-deal
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