Comcast Time Warner Cable

Time Warner Cable and Comcast kicked off their Thursday by announcing a $45.2 billion merger. The press release is full of buzzwords and phrases like "synergy," "pro-consumer," "maximum value," and "leveraging a national platform." But what are they actually talking about?

Naturally, Comcast chief Brian Roberts and TWC CEO Robert Marcus are super jazzed about the deal. Accelerated innovation! Comprehensive video experience! Industry-leading ... things. But this deal is not closing without a fight. Consumer groups are already up in arms. And Sens. Amy Klobuchar and Mike Lee, chair and ranking member of the Senate Judiciary antitrust subcommittee, promised "to hold a hearing to carefully scrutinize the details of this merger and its potential consequences for both consumers and competition."

But what are both sides saying? Here's a quick rundown of what the Comcast/TWC camp believe will be some of the consumer benefits of the deal and why detractors think it's the Worst Thing Ever.

5 Reasons It's Awesome
Broadband: Comcast talked up its broadband service, saying it has increased speeds 12 times over 12 years. In PCMag's most recent Fastest ISP tests, Verizon FiOS was the top U.S. provider, but it has a relatively small footprint and has no plans for growth. Comcast came in No. 3, while Time Warner Cable was at No. 10 in our tests.

Net Neutrality Lives: As part of the 2011 Comcast-NBC Universal deal, Comcast agreed to abide by the FCC's net neutrality rules. Even though a court recently struck down those rules, Comcast is bound to follow them until at least 2018. Comcast's Roberts today declined to say if his company would extend that beyond 2018, but said purchasing Time Warner Cable effectively extends net neutrality rules to Time Warner Cable, making Comcast and TWC the only two ISPs to officially comply.

Xfinity On-Demand for TWC: Comcast pointed to its library of 50,000 on-demand movies and TV shows, 300,000+ streaming choices on, Xfinity TV mobile apps that offer 35 live streaming channels and the ability to download to watch offline later, as well as its X1 cloud DVR. Time Warner Cable offers similar services, though its on-demand library currently sits at 18,000, according to its website.

Start Over/Wi-Fi hotspots: As for what TWC brings to the table for users, Comcast highlighted TWC's StartOver, which allows customers to restart a live program from the beginning, and LookBack, which allows customers to watch programs up to three days after they air live, all without a DVR. Time Warner Cable will also combine its more than 30,000 hotspots, primarily in Los Angeles and New York City, and its in-home management system, IntelligentHome, with Comcast's offerings.

No overlap: Competition? What competition? That's what Comcast and TWC had to say this morning, at least, arguing that the Comcast and TWC footprints do not overlap, so there's no problem, right? Right? Bueller? Forrester analyst James McQuivey argued that the move is necessary for Comcast and TWC to compete with the likes of Apple, Google, and Amazon. "The future belongs to the digital platforms, not the telcos, and by making this investment today, Comcast is signaling its intention to become one of those massive -- ultimately global -- companies like Microsoft or Facebook," he said.

5 Reasons It Will Destroy Us All
Comcast Becomes the Gatekeeper: Comcast "is already the nation's largest ISP, the nation's largest video provider, and one of the nation's largest home phone providers," said John Bergmayer, a senior staff attorney with Public Knowledge. "It also controls a movie studio, broadcast network, and many popular cable channels. An enlarged Comcast would be the bully in the schoolyard, able to dictate terms to content creators, Internet companies, other communications networks that must interconnect with it, and distributors who must access its content."

Higher Bills: Free Press President and CEO Craig Aaron argued that the transaction will lead to higher bills thanks to decreased competition, a common concern when two major firms merge, no matter the industry. Bergmayer agreed. "By raising the costs of its rivals and business partners, an enlarged Comcast would raise costs for consumers, who ultimately pay the bills," he said.

Customer Service Nightmares: Cable companies are not known for their stellar customer service, whether it's technicians falling asleep at your house or failing to show up at all. As Business Insider notes, TWC didn't exactly knock it out of the park on a recent American Consumer Satisfaction Index, while Comcast's Internet service tied for the second-worst score among national companies.

So Long Innovation: Though Comcast and TWC argue that a merged company is an innovative company, Bergmayer is skeptical. "It would be able to keep others from innovating, while facing little pressure to improve its own service. New equipment, new services, and new content would have to meet with its approval to stand any chance of succeeding," he said.

Layoffs: Comcast and TWC declined to elaborate, but their release contains he dreaded "operating efficiencies" phrase, while there was talk of "duplicative areas" on today's media call. Naturally, there's going to be some crossover.