NEW YORK, Nov 29 (Reuters) - Netflix Inc network partner Level 3 Communications said it will resist efforts by Comcast Corp to force it to pay fees for delivering online movies to Comcast customers.
Level 3, which recently won a deal to help popular movie streaming service Netflix to deliver its shows to consumers, said that while it agreed to Comcast's terms 'under protest' it is asking U.S. regulators and policy makers to take action.
The operator said Comcast informed it on Nov. 19 that it will demand a recurring fee to transmit movies and other content to Comcast customers who ask for such content. Level 3 said it agreed to the terms only to ensure customers did not experience any disruptions.
The move could potentially have big ramifications for Comcast's proposed take-over of NBC Universal, which is currently being reviewed by U.S. regulators. Comcast has said it expects the merger is expected to close by year-end.
(Reporting by Sinead Carew; editing by Gunna Dickson) Keywords: COMCAST/LEVEL3 (sinead.carew@thomsonreuters.com + 1 646 2236186) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
Level 3, which recently won a deal to help popular movie streaming service Netflix to deliver its shows to consumers, said that while it agreed to Comcast's terms 'under protest' it is asking U.S. regulators and policy makers to take action.
The operator said Comcast informed it on Nov. 19 that it will demand a recurring fee to transmit movies and other content to Comcast customers who ask for such content. Level 3 said it agreed to the terms only to ensure customers did not experience any disruptions.
The move could potentially have big ramifications for Comcast's proposed take-over of NBC Universal, which is currently being reviewed by U.S. regulators. Comcast has said it expects the merger is expected to close by year-end.
(Reporting by Sinead Carew; editing by Gunna Dickson) Keywords: COMCAST/LEVEL3 (sinead.carew@thomsonreuters.com + 1 646 2236186) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.