Charter and Cox Unveil Definitive Merger Agreement to Form MSO Giant

Charter and Cox have announced a definitive agreement to merge their operations, creating a significant player in the multiple system operator (MSO) landscape. Valued at $34.5 billion, the merger will see Cox Enterprises owning a 23% stake, serving 69.5 million addresses and 37.6 million customers, with $68.2 billion in annual revenue. Once complete, the combined entity will operate under Cox Communications but retain the Spectrum brand for consumer interactions. The merger also includes a concurrent purchase of Liberty Broadband by Charter. The terms aim for synergy in their network capabilities and smooth transition in mobile services following Cox's MVNO partner switch to Verizon. Regulatory challenges appear minimal, partly due to the alignment with the Trump administration's DEI policies, which have impacted similar mergers like Verizon's acquisition of Frontier. Charter plans to leverage its existing B2C strategies and emphasizes job repatriation, likely a persuasive factor for current regulatory authorities. The Federal Communications Commission is not anticipated to view the merger as anti-competitive due to the non-overlapping markets of US cable MSOs.