‘We Won’t Invest in AT&T’: Disney

04 October 2001

The Walt Disney Company, whose name has been associated frequently of late with AT&T Broadband, denied Wednesday that it has any intention of investing in the company.

Following AT&T’s rejection this summer of an unsolicited offer from Comcast, rumor has been rife about other suitors [WAMN: 24-Sep-01]. Said Disney president Bob Iger: “We don't need to invest in [broadband] pipe.” Instead Disney will continue to concentrate on media content rather than distribution.

Iger also stressed Disney’s opposition to any deal that would confer “excessive ownership” of broadband transmissions on any one media company. This, he said, would trigger “vocal opposition” in Washington to any purchase or merger that might threaten the distribution of Disney-produced media content – a reference, some infer, to AOL Time Warner whose own merger last year was vociferously opposed by Disney.

Referring to the recent terrorist attacks, Iger said it was premature to speculate on the effect, if any, these would have on Disney’s theme park and TV network businesses.

News source: Financial Times