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Netflix's CEO Is In Favor Of AT&T's Merger With Time Warner, But With One Key Condition

Netflix's CEO Is In Favor Of AT&T's Merger With Time Warner, But With One Key Condition

Merging together AT&T Inc. (NYSE: T) with Time Warner Inc (NYSE: TWX) would certainly change the creative landscape in the media and entertainment sector and certainly poses challenges for Netflix, Inc. (NASDAQ: NFLX).

However, Netflix CEO Reed Hastings is in favor of the proposed merger, but under one key condition.

According to a Bloomberg report, Hastings needs reassurance that AT&T won't give any unfair advantage or preferential treatment to its newly acquired assets, especially HBO.

Speaking at the Wall Street Journal conference on Monday, the executive said "as long as HBO's bits and Netflix's bits are treated the same," then it will result in fair and open competition.

Related Link: The AT&T-Time Warner Deal Is Starting To Raise Eyebrows

Hastings previously opposed Comcast Corporation (NASDAQ: CMCSA)'s merger proposal with Time Warner Cable given Comcast's position on network neutrality whereby Comcast doesn't treat all internet traffic equally. On the other hand, Hastings supported Charter Communications' acquisition of Time Warner Cable in exchange for free access to Charter's customers.

From an industry-wide standpoint, critics of the merger argue that AT&T may have too much power over media since it will own the content and delivery system.

Bottom line, Hastings also said at the Wall Street Journal conference that he loves open competition and believes all consumers could ultimately end up winners.

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