Comcast abandons offer to buy Time Warner for $45 billion

Comcast Corporation has abandoned its attempt to buy media rival Time Warner for $45 billion on Friday, citing opposition from regulators.

The cable operator made the announcement in a terse release on Friday after spending this week meeting with Federal Communications Commission and the Justice Department reviewers, whose approval is required for the merger to have gone through.

The companies faced critical regulators concerned about the deal's impact on consumers, with the FCC set to recommend an administrative law judge for a hearing — effectively the FCC's way of blocking the deal.

"Today, we move on," Comcast chairman Brian Roberts said. "Of course, we would have liked to bring our great products to new cities, but we structured this deal so that if the government didn't agree, we could walk away."

The companies were pitching the tie-up as a perfect marriage of two cable and Internet companies that were complementary in that they were dominant in different markets, and offer consumers better value. But regulators weren't buying it, as the megamerger would have consolidated media control in even fewer hands.

"Comcast's withdrawal of its proposed merger with Time Warner Cable would be spectacularly good news for consumers," said Michael Copps, a former FCC commissioner now working with a lobby group trying to block the deal.

Shares in both companies were higher in premarket trading on Friday.

Comcast has faced much regulatory scrutiny in recent months as to whether it has lived up to programming and distribution agreements it made during its 2011 takeover of NBCUniversal.