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TECHNOLOGYThursday 22 March 2018

TV future at stake: Opening arguments Thursday in AT&T case

By MAE ANDERSON                   "On one hand, the govern-       nament.                                               services like Netflix, Ama-    AT&T could withhold Time
AP Technology Writer              ment is saying this is the Old  The government sued to                                zon and others. It denies      Warner programming from
NEW YORK (AP) — Opening           World and AT&T Time War-        block the deal this past                              the government's assertion     other distributors or offer it
arguments are set for Thurs-      ner is saying this is the New   November. Opening argu-                               that the merger will limit     more cheaply only on its
day in the federal gov-           World," said Larry Downes,      ments had been expected                               choice and lead to higher      own network.
ernment's efforts to block        senior industry and innova-     Wednesday in Washington,                              prices for consumers.          The Justice Department is
AT&T's efforts to gobble          tion fellow at Georgetown       which was experiencing a                              "Blocking the transaction      similarly dismissive of the no-
up Time Warner in a case          University. "They're argu-      snowstorm. The trial started                          would deny consumers           tion that the mega-merger
that could shape how you          ing completely different        Monday with preliminary                               these benefits and shield      could promote competi-
get — and how much you            views of how the content        matters.                                              large, vertically integrated   tion to big internet players
pay for — streaming TV and        industries look right now, let  AT&T'S CASE                                           firms such as Comcast/         such as Google and Netflix,
movies.                           alone in the future."           Almost 60 percent of Amer-                            NBCU, Netflix, Google, Am-     noting that most people
AT&T says it needs to buy         In October 2016, AT&T of-       icans still get TV primarily                          azon, and Facebook from        still watch TV via traditional
Time Warner to compete            fered to buy Time Warner        from traditional cable ser-                           new competition on their       cable boxes.
with the likes of Amazon,         for $86 billion. Dallas-based   vices, according to a Pew                             own turf," the company         THE OUTCOME
Netflix and Google in the         AT&T Inc. provides wireless,    Research Center report.                               wrote in its pre-trial brief.  "The real fundamental
rapidly evolving world of         broadband and DirecTV           But that is starkly divided                           THE GOVERNMENT'S CASE          thing this trial will decide is
video entertainment. The          satellite services via phone    by age. About 61 percent                              The government brush-          how much room does the
Justice Department's an-          and TV. New York-head-          of people aged 18 to 29                               es off the argument that       media industry have to use
titrust lawyers worry that        quartered Time Warner           primarily use streaming ser-                          the proposed purchase is       scale to combat the inter-
consumers will end up pay-        owns the HBO, TNT, TBS and      vices — compared with 10                              about offering consumers       net giants that are eating
ing more to watch their fa-       CNN networks and sports         percent of people aged 50                             more choice. Instead, it       their lunch right now," said
vorite shows, whether on a        programing including Ma-        to 64.                                                says, the deal will lead to    B. Riley FBR analyst Barton
TV screen, smartphone or          jor League Baseball's play-     AT&T says the merger is                               less competition and inno-     Crockett.
tablet.                           offs and the NCAA's March       necessary to compete as                               vation while bringing high-    If the judge blocks the
                                  Madness basketball tour-        more people use streaming                             er prices for consumers, as    deal, a chill over media
ROOMS FOR RENT per night in                                                                                                                            deal-making is likely. Big in-
the Center of Aruba with private                                                                                                                       ternet players like Amazon
bedroom, WIFI, TV by Cable                                                                                                                             or Google could decide to
and Private Parking.                                                                                                                                   keep building up their own
Since Usd .30 per night.                                                                                                                               content offerings rather
whatsapp 5600312                                                                                                                                       than growing them by ac-
Email:                                                                                                                                                 quisitions.
lasaresidence@gmail.com                                                                                                                                But if the court lets the deal
                                                                                                                                                       go through, it could easily
                                                                                                                                                       spur a wave of similar deals
                                                                                                                                                       as other distributors — think
                                                                                                                                                       major cable, satellite and
                                                                                                                                                       phone companies — bulk
                                                                                                                                                       up with entertainment pur-
                                                                                                                                                       chases in order to compete
                                                                                                                                                       against rivals born on the
                                                                                                                                                       internet. A middle-ground
                                                                                                                                                       compromise is also possible
                                                                                                                                                       if AT&T loses this round. The
                                                                                                                                                       company could agree to
                                                                                                                                                       sell off some businesses or
                                                                                                                                                       comply with other restric-
                                                                                                                                                       tions in order to win ap-
                                                                                                                                                       proval for the merger.q

                                                                                                                        Orbitz says legacy travel site
                                                                                                                        likely hacked, affecting 880K

                                  This Feb. 12, 2015 file photo shows signage for travel booking                        2017.                          not hacked, however. The
                                  site Orbitz outside the building that houses its headquarters, in                     The current Orbitz.com         company said evidence
                                  Chicago.                                                                              website was not involved in    suggests that an attacker
                                                                                                                        the incident. Orbitz is now    may have accessed infor-
                                                                                                      Associated Press  owned by Expedia Inc. of       mation stored on the plat-
                                                                                                                        Belleview, Washington.         form — which was for both
                                  CHICAGO (AP) — Orb-             ing the personal informa-                             Orbitz said Tuesday about      consumers and business
                                  itz says one of its older       tion of people who made                               880,000 payment cards          partners — between Oct.
                                  websites may have been          purchases online between                              were impacted.                 1, 2017 and Dec. 22, 2017.
                                  hacked, potentially expos-      Jan. 1, 2016 and Dec. 22,                             Data that was likely ex-       It said it discovered the
                                                                                                                        posed includes name, ad-       data breach March 1.
                                                                                                                        dress, payment card in-        Orbitz is offering those im-
                                                                                                                        formation, date of birth,      pacted a year of free cred-
                                                                                                                        phone number, email ad-        it monitoring and identity
                                                                                                                        dress and gender. Social       protection service in coun-
                                                                                                                        Security information was       tries where available.q
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