From Yahoo Finance: 2025-05-16 07:12:00

Charter Communications has proposed a $34.5 billion merger with Cox Communications, combining two of the top three cable companies in the U.S. Cox is the third largest cable company with over 6.5 million customers, while Charter (Spectrum) serves 32 million customers in 41 states.

The cable industry faces challenges from streaming services and mobile internet plans. Comcast recently spun off cable networks due to customer migration to streaming. The trend of “cord cutting” has cost the industry millions of customers, leading to increased competition and consolidation.

Charter plans to acquire Cox’s commercial fiber and IT businesses. Cox Enterprises will own 23% of the combined company, pending approval from shareholders and regulators. The deal includes $12.6 billion in debt and aims to create scale and cost synergies in a challenging market.

The proposed merger is one of the largest in recent years. The combined company will be named Cox Communications and will have headquarters in Stamford, CT, and a presence in Atlanta, GA. After closing, Charter CEO Chris Winfrey will become president and CEO, with Cox CEO Alex Taylor as chairman.

Cox will retain two directors on the 13-member board, while Advance/Newhouse (part of Charter) will keep its two board members. The deal signals a strategic move in reshaping the media and telecom landscape, aiming to strengthen competitive positioning in a changing market.

Read more: US cable giants Charter and Cox, under assault by streaming services, pursue $34.5 billion merger