Streaming’s Been Winning for Years… But This New $34.5B Cable Merger Could Shift the Power

If you thought cable was finally dead… you might want to sit down for this. Because two of the biggest names in the industry just pulled a move straight out of a Hallmark movie: they’re getting back together to prove everyone wrong. And no, it doesn’t involve a burnt-out businesswoman leaving her high-powered city job to fall in love with a bearded guy who owns a Christmas tree farm… though Charter and Cox teaming up in 2025 is about as unexpected.

Charter Communications and Cox Communications (the family-run company that got its start back when folks were still rolling around in horse-drawn buggies) just announced a $34.5 billion merger that would create the largest TV and broadband provider in America by subscriber count. Not the biggest streaming service, mind you. We’re talking old-school coaxial cable, modems, and landlines your grandparents still refuse to let go of.

The numbers are really historic… as in “we’ve never seen anything like it.” Cox is valued at nearly $35 billion in the deal, which includes $21.9 billion in equity and another $12.6 billion in debt. Charter’s buying the whole thing, but Cox Enterprises (the parent company) isn’t walking away empty-handed… they’re getting a 23% ownership stake in the new company and $4 billion in cash to help ease the sting of no longer being totally in charge.

And while the corporate name will eventually switch to “Cox Communications” sometime next year, consumers will still see the Spectrum brand plastered across their bills, commercials, and that weird cable van parked in front of your neighbor’s house for six hours.

The merged company will be run by Charter’s CEO Chris Winfrey, who will continue calling the shots, while Alex Taylor (the CEO of Cox Enterprises) will become chairman of the board. The HQ will be based out of Stamford, Connecticut, but they’ll keep a big presence in Atlanta too, which is Cox’s home turf.

So, why the hell are two cable companies joining forces now… in the era of $1.99 Peacock trials and “Who’s still using my Netflix password?” group texts? It might feel like a last-ditch effort (and maybe it is) while everyone’s busy bingeing Netflix, cable is still quietly bringing in billions. The money’s still flowing, but the power is shifting. Media giants like Disney, Fox, and Warner Bros. Discovery are getting rid of the middlemen and going straight to consumers with their own streaming apps. And that puts old-school distributors like Charter and Cox in a tough spot. The middle seat. No legroom. No control.

Charter saw the writing on the wall last year and decided not to sit back. They went toe-to-toe with Disney over their expensive cable bundle, refused to keep paying for under-watched channels, and came out the other side with a better deal… one that gave their subscribers direct access to Disney+ and Hulu. It was a rare W for cable and a loud message to the rest of the industry: we're still here, and we still own the pipes.

Because that’s the part everyone forgets. The streamers may have the content, but cable companies still control the internet infrastructure… the digital plumbing that makes all that content actually stream. You might not love your cable company, but try watching Severance on Apple TV without them. Now, with subscriber numbers dipping and media deals getting nastier, Charter and Cox are linking up to reassert control before streaming eats everything.

Of course, mergers always come with the “s” word: synergies. Which really means layoffs. Some job cuts are expected, but Charter’s trying to pad the fall with a $50 million charitable foundation and a $5 million employee relief fund, modeled after Cox’s existing programs. Will that help with morale? Maybe. Will it stop the headlines? Definitely not.

So sure, it might not be a perfect love story. There’s no snow, no tree farm, and no big city resignation letter. But it is two old flames (once fierce rivals) realizing that if they want to survive this next chapter, they might just be better off together. And to me, that’s about as Hallmark as it gets.

PS: It’s a mess out there.

One day the market’s ripping, the next day it’s Black Monday all over again. Recent earning’s reports have been a total coin flip. One stock beats and explodes 30%… the next misses by a penny and gets sent to the Shadow Realm. And through it all, everyone’s begging for Jerome Powell to finally cave and cut rates.

But underneath all the panic headlines (“Inflation too sticky!” “Recession imminent!” “Tariffs round 4 incoming!”) something wild is happening…

We’re seeing violent price action. Especially in the small-cap space, where low floats and high anxiety are creating the perfect recipe for 100%+ pops before lunchtime. Some of these names are moving 200%+ in under 24 hours… and to our knowledge, NO ONE else is covering them.

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Stock.News has positions in Netflix, Disney, and Apple.