New York Regulator Revokes Its Approval of Charter, Time Warner Cable Merger

PSC revokes Charter's authorization to operate in state

PSC revokes Charter's authorization to operate in state

That's a big deal, as Spectrum provides cable, internet and telephone services to more than 2 million subscribers in the state, more than any other company. NY is also seeking $3 million dollars in penalties from Charter. Friday's actions are meant to address Charter's failings and to ensure NY has a partner interested in the public good, not just lining its pockets.

Charter is ordered to file within 60 days a plan with the PSC to ensure an orderly transition to a successor provider (s).

The decision cuts against a broader nationwide trend of consolidation in the telecom and media industries, although it is limited to NY state and does not cover the more than 40 other states in which Charter does business, including Kentucky, Montana or Texas.

"Charter's repeated failures to serve New Yorkers and honor its commitments are well documented and are only getting worse".

The company's purposeful obfuscation of its performance and compliance obligations to the Commission and its customers.

Since the merger, the PSC said Charter has repeatedly failed to meet its commitments to the State, including its obligation to timely extend its high-speed broadband network to 145,000 unserved and underserved homes and businesses in less densely populated areas of the State.

The commission is giving Charter 60 days to come up with an exit plan from NY and has ordered the firm to pay $3 million in penalties.

"The Company has had multiple opportunities to correct these issues and either has not done so or has been openly brazen in its efforts to avoid them", the commission said.

That pledge was one of the "most critical" conditions attached to the merger approval, the commission argued in an order posted online Friday.

The ruling shouldn't affect cable service to the company's NY customers. Lawyers for the PSC also took steps in State Supreme Court in Albany to seek additional penalties. It claimed the commission's charges were "politically motivated" and tied to the upcoming election season.

Charter Communications is the largest broadband communications company and second-largest cable operator in the nation.

Further, PSC charged in its order Friday that some of the work Charter has done is unsafe, has caused damage to surrounding equipment, or does not comply with electrical codes. In response to the decision by the commission, Charter noted that it had extended its reach to "more than 86,000 NY homes and businesses", which is objectively less than 145,000.

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