Originally published: December 6, 2009
Last updated: December 6, 2009 - 12:15pm
[Commentary] As a longtime Washington lobbyist (albeit on the "white hat" consumer advocate side) I propose a new metric for measuring antitrust impact of mergers, the uniquely Washington "Trade Association Scale." How many trade associations/lobbying groups will you qualify for after the merger? If the number is too high, that shows you are getting into far too many lines of business to be healthy, because you have too much influence on everybody else's business. And on the Trade Association Scale, the Comcast/NBC merger ranks a 10 out of 10. Comcast will now be able to join the National Association of Broadcasters (NAB). In ideological terms, it is rather like Vatican City joining the Arab League -- and as a dominant member. Comcast will also be able to join the Motion Picture Association of America (MPAA). Until now, MPAA has been one of the few organizations able to go Trade Orgo a Trade Orgo with cable. Now, with the help of fellow cable content provider Time Warner, Comcast will have another trade association -- with powerful links into the Democratic Party it previously lacked -- it can deploy at need. But Comcast's new sphere of influence doesn't stop with content. Depending on how Comcast develops its broadcast spectrum and other wireless assets, it could join CTIA and other wireless trade associations. These organizations, of course, join the impressive list of trade associations Comcast already belongs to as the largest broadband access provider, one of the largest residential phone companies, one of the largest purchasers of telecommunications equipment, etc.
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