Al Jazeera's announced plans to establish a new U.S. cable news channel via the purchase of Current TV isn't even 48 hours old and already it finds itself in a vicious battle to retain distribution rights.Al Jazeera's acquisition of Current TV is basically a pay-for-distribution play. The Qatar-backed network plans to replace Current TV in the more than 40 million homes where it is currently distributed with its own news network, tentatively dubbed Al Jazeera America. The new network's success is predicated on maintaining, if not increasing, that level of distribution.One person with knowledge of cable TV deals said pay-TV operators will definitely seek more favorable terms from Al Jazeera since, "no one wanted to carry Current TV and they want to carry an Al Jazeera channel even less."For instance upon learning of deal, which closed on Wednesday, Time Warner Cable immediately said that it would terminate its contract with Current TV, meaning its customers would not be seeing the new network to be named Al Jazeera America.
Time Warner Cable Inc. (TWC) is a provider of video, high-speed data and voice services in the United States with systems located in five geographic areas: New York State, the Carolinas, Ohio, Southern California and Texas. Shares of TWC fell by 1.27% or $-1.26/share to $97.89. In the past year, the shares have traded as low as $63.93 and as high as $100.50. On average, 1782210 shares of TWC exchange hands on a given day and today's volume is recorded at 1500950.
Time Warner Inc. (Time Warner) is a media and entertainment company. Shares of TWX traded higher by 0.04% or $0.02/share to $49.78. In the past year, the shares have traded as low as $33.62 and as high as $49.96. On average, 6262500 shares of TWX exchange hands on a given day and today's volume is recorded at 5771885.
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