Comcast and Lions Gate, the owner of Starz, have both been contacted by the Department of Justice (DOJ) as part of an informal inquiry into two companies’ contract negotiations, according to people familiar with the matter.
Lions Gate, as well as members of Congress, called upon the Justice Department to look into whether TV providers such as Comcast could be abusing their market position in negotiations over content licenses, said the people, who asked not to be named because the inquiry is confidential. The DOJ was responsive to the requests and has been asking for information from the two parties, the people said.
The New York Post was first to report on the informal inquiry, adding that no subpoenas or requests for discovery have been issued.
Comcast, the owner of CNBC parent NBCUniversal, accounts for about one-third of Starz’s 24.4 million domestic subscribers. On October 16, Lions Gate warned Comcast Xfinity customers that they may lose access to Starz amid the contract dispute.
Full Content: CNBC
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