AOL and Time Warner Unveil Policy to Open Cable Television Lines to Multiple ISPs

Strategic Insights -

AOL and Time Warner are set to unveil a policy to open their cable-television lines to multiple Internet-service providers (ISPs), addressing concerns from regulators, online rivals, and open access proponents. Despite initially pushing for a government-mandated open access policy, AOL has since toned down its insistence, citing the need for government regulation after its merger with Time Warner. The new policy is expected to give consumers a choice of ISPs, with no limit on the number of providers allowed access to the cable lines. However, critics may argue that the policy does not provide true, nondiscriminatory access to competing Internet companies.

Key Takeaways:

  • AOL and Time Warner will unveil a policy to open their cable-television lines to multiple ISPs, addressing concerns from regulators, online rivals, and open access proponents.
  • The policy aims to give consumers a choice of ISPs, with no limit on the number of providers allowed access to the cable lines.
  • The merger between AOL and Time Warner is expected to be approved, but will face tough scrutiny from regulators.
  • Time Warner's exclusive agreement with Roadrunner Inc. will continue until the end of 2001, with Roadrunner serving as the sole ISP on its cable lines.
  • The new policy reflects AOL's original views on "open access" and may alleviate concerns about the proposed merger.

Statistics:

  • The merger between AOL and Time Warner will allow for a choice of ISPs, with no limit on the number of providers.
  • Time Warner's exclusive agreement with Roadrunner Inc. will continue until the end of 2001.
  • The policy aims to provide true, nondiscriminatory access to competing Internet companies.
  • The Senate Judiciary Committee hearing will headline AOL's chief executive, Steve Case, and Time Warner's chairman, Gerald Levin.
  • AOL has toned down its insistence for a government-mandated open access policy, citing the need for government regulation.

Sources:

  • Wires Online, Legal, Business/Open Access/Photo (20000229)
  • Newsbytes.com (http://www.newbytes.com)