Verizon Wireless Probed Over Cable Deals

Verizon Wireless’ deals for spectrum with cable companies are under investigation by the Justice Department for their potential to hurt competition in the wireless and cable industries.

Gina Talamona, a Justice Department spokeswoman, said the antitrust division is examining the transactions, declining to comment further. The Justice Department probe will focus on whether that transaction and a subsequent one with Cox Communications, concentrate too much control of airwaves in one company’s hands and whether the marketing agreements between Verizon and the cable companies violate antitrust laws, said a person familiar with the investigation. “This agreement is diminishing competition in every way,” said Mark Cooper, director of research at Consumer Federation of America, which opposes the deal. “It means the cable companies are no longer trying to do their own thing in wireless, it concentrates ownership of spectrum and it turns rivals such as Verizon and Comcast into partners.”