SEEN, DEADLIEST IN CALIFORNIA
HISTORY WHICH IS OBVIOUSLY
SAYING SOMETHING.
CLAUDIA, THANKS.
THE JUSTICE DEPARTMENT IS
LOOKING MORE CLOSELY AT
ANTITRUST ALLEGATIONS, TALKING
ABOUT COMCAST ONCE AGAIN TODAY.
THERE IS THE STOCK.
IT IS DOWN 16 CENTS.
CHARLIE GASPARINO BROKE A STORY
ABOUT COMCAST YESTERDAY.
>> FROM THE AMERICAN CABLE
ASSOCIATION URGING THE JUSTICE
DEPARTMENT TO LAUNCH A CIVIL OR
INVESTIGATION INTO COMCAST'S
ANTITRUST WHAT THEY SAID,
ALLEGATIONS OF ANTITRUST
ALLEGATIONS OF THE ESSENTIALLY
COMCAST WHICH IS A MASSIVE
DISTRIBUTOR OF CONTENT, RIGHT?
CONNELL: YEP.
>> USING ITS CONTENT IN
ANTI-COMPETITIVE WAY, FORCING
RIVAL CABLE OPERATORS, YOU WANT
NBC UNIVERSAL OR HULU FROM US
YOU HAVE TO PAY UP.
CONNELL: RIGHT.
>> JUSTICE DEPARTMENT RECEIVED
THE LETTER.
WHAT OUR SOURCES ARE SAYING THEY
REVIEWED THE LETTER.
THEY'RE TAKING IT VERY
SERIOUSLY.
THEY TOLD US THEY HAVEN'T
LAUNCHED FORMAL INVESTIGATION
YET.
BUT THEY COULD LAUNCH ONE.
WHAT THEY SAY THEY'RE REVIEWING
ALLEGATIONS FROM WHAT ACA SAID
BUT OTHER ALLEGATIONS.
THERE IS OTHER COMPLAINTS ABOUT
COMCAST OVER THE YEARS,
PARTICULARLY AS IT WAS MERGED
WITH NBC UNIVERSAL.
AGREED TO CERTAIN CONDITIONS OF
THAT MERGER BACK I THINK FIVE
YEARS AGO.
THOSE CONDITIONS LAPSED I
BELIEVE IN SEPTEMBER.
BUT THESE, THESE ARE DURING THAT
CONDITION PERIOD, THERE WERE A
LOT OF COMPLAINTS ABOUT COMCAST.
THEY'RE LOOKING AT SOME OF THOSE
COMPLAINTS AS WELL.
I THINK THE BEST COULD YOU SAY
RIGHT NOW, THE JUSTICE
DEPARTMENT IS INVESTIGATING
WHETHER THEY SHOULD LAUNCH AN
INVESTIGATION INTO COMCAST.
CONNELL: OKAY.
>> WE HAVE THAT PRETTY COLD FROM
PEOPLE INSIDE OF THE JUSTICE
DEPARTMENT.
CONNELL: NO FORMAL
INVESTIGATION?
>> NOT YET.
BUT THEY'RE INVESTIGATING, I
THINK INTERESTING THING HERE, I
THINK THE STOCK TRADED OFF ON MY
INITIAL TWEET ON THIS AROUND
9:50ISH OR SO.
CONNELL: OKAY.
>> INTERESTING THING THEY ARE,
THEY'RE TAKING THIS SERIOUSLY.
NOW IF YOU NOTICE ON YOUR REPORT
YESTERDAY ABOUT THIS
DONALD TRUMP, TWEETED IT OUT
ARE.
TWEETED OUT, DIDN'T RETWEET MY
TWEET.
SOME.
COMMENTARY.
CONNELL: COMMENTS YOU MADE ABOUT
THE STORY.
THAT BRINGS UP THE LARGER POINT
THE TRUMP JUSTICE DEPARTMENT,
ITS RELATIONSHIP IN PARTICULAR
WITH MEDIA COMPANIES ON
ANTITRUST, HOW MUCH IS SPECIFIC
TO THIS JUSTICE DEPARTMENT UNDER
THIS PRESIDENT VERSUS ISSUES
THAT --
>> BECAUSE OF DONALD TRUMP'S
PUBLIC COMMENTS ABOUT NBC, ABOUT
CNN, WHICH THEY'RE ALSO
CHALLENGING THE AT&T TIME WARNER
MERGER WHICH BROUGHT CNN INSIDE
THE AT&T DISTRIBUTION FRAMEWORK.
CONNELL: CRITICS ARE SAYING HE
IS GOING AFTER --
>> IT DETRACTS FROM WHAT IS A
FAIRLY INTERESTING ANTITRUST
RATIONAL BY THE JUSTICE
DEPARTMENT.
HE RUNS THE ANTI-TRUST DIVISION.
IF YOU GET MASSIVE DISTRIBUTION
AND INTEGRATE A CONTENT PROVIDER
WHICH IS KNOWN AS VERTICAL
INTEGRATION, THAT COULD LEAD TO
ANTI-COMPETITIVE PRESSURE
BECAUSE, THAT DISTRIBUTE COULD
USE CONTENT IT HAS, IF IT HAS
MUST-SEE CONTENT ARGUES LOT OF
PEOPLE SAY AT&T HAS MUST-SEE
CONTENT THROUGH CNN.
NBC WITH MUST-SEE CONTENT WITH
"SATURDAY NIGHT LIVE."
CONNELL: I LOOKING AT THE
BEGINNING OF AT&T TRIAL, IS IT
QUOTE, MUST-SEE?
>> A LOT OF PEOPLE THINK IT IS.
YOU COULD USE IT AS LEVERAGE TO
SEE HIGHER PRICES AND JUSTICE
DEPARTMENT ON THE AT&T CASE THAT
IS VIOLATION OF THE ANTITRUST
LAWS.
CONNELL: A NEW ANGLE THOUGH
HISTORICALLY.
>> THAT IS KNOWN AS VERTICAL
INTEGRATION.
CONNELL: WHICH NEVER CAME UP IN
ANTITRUST.
>> YEAH IT DID.
CONNELL: NOT AS MUCH.
>> YOU SHOULDN'T SAY NEVER.
IT WASN'T PREVAILING.
WHEN WE TALK TO OUR SOURCES
CLOSE TO THE JUSTICE DEPARTMENT
ON THIS, THEY SAID THERE ARE
TWO-WAYS TO GO ABOUT THIS, A
CIVIL CASE A CIVIL INVESTIGATION
IF THEY GO THERE, AND A
POSSIBLE -- YOU CAN DO CRIMINAL
CASES SO IT IS NOT TOTALLY OUT
OF THE REALM IF THEY THINK THERE
IS A GROSS VIOLATION.
LIKELIHOOD IT WILL BE CIVIL, IF
THEY GO THERE, I SAY IF THEY'RE
GOING THERE.
I'M NOT SAYING THEY'RE GOING
THERE.
CONNELL: IS A PERCENTAGE ON
THAT?
>> I DON'T KNOW.
THERE IS A LOT OF REASONS I CAN
TELL YOU THEY'RE GOING TO GO
THERE.
THE FACT AT THAT DONALD TRUMP
TWEETS STUFF OUT IT IS VERY NICE
THAT HE MENTIONS US BUT -- LET
ME MAKE THIS POINT, HE MAKES THE
CASE A LITTLE MORE DIFFICULT FOR
HIS OWN PEOPLEP THEN THEY WILL
SAY IT IS BE PRODDED BY THE
PRESIDENT.
CONNELL: I WAS GOING TO ASK FROM
YOUR SOURCES ARE PEOPLE INSIDE
THE JUSTICE DEPARTMENT TELLING
YOU THEY'RE GETTING PRESSURE
FROM THE WHITE HOUSE?
>> NOT AT ALL.
JUST HIS TWEETS KIND OF CREATE
AN IMPRESSION.
I WILL TELL YOU THAT THEY DO
HAVE AN INTERESTING LEGAL
RATIONALE ABOUT THE NOTION OF
MASSIVE DISTRIBUTION AND CONTENT
IN VERTICAL INTEGRATION.
THAT COULD LEAD TO ANTITRUST
BEHAVIOR.
THEY, A LOT OF PEOPLE BLEW IT
OFF, A LOT OF CONSERVATIVES BLEW
IT OFF.
I'M A FREE MARKET GUY.
I INITIALLY BLEW IT OFF AN UNTIL
I READ THE BRIEFS.
THERE IS RATIONALE THERE, YOU
CAN SEE HOW IT MIGHT HAPPEN.
REMEMBER AT&T WENT DARK LAST I
HEARD ON DISH, REMEMBER?
CONNELL: YEAH.
>> YOU CAN'T GET THE AT&T
CONTENT ON DISH ANYMORE BECAUSE
THEY'RE FIGHTING OVER PRICING.
SO IT IS, THERE IS SOME
ANECDOTAL EVIDENCE THAT JUSTICE
DEPARTMENT HAS A RATIONALE AND A
CASE HERE.