President Obama has sought to “democratize the Internet,” says Hedgeye Potomac Telecom & Media Policy Paul Glenchur, a boon for internet-based behemoths like Netflix and Facebook. While that was a laudable goal, Glenchur says, it may have gone too far.
President-elect Donald Trump victory on Election Day changed everything, Glenchur says:
“Republicans have dissented from all of these decisions saying it imposed ‘Solutions in search of a problem.’ Now, I think you’ll get a regime that says ‘Let’s let the market play out and if abuses develop, we’ll correct them.’”
What comes next? Deregulation = Mergers & Acquisitions.
“I think we could see more consolidation in a hurry,” Glenchur says in the video above.
“If DirectTV Now, which is part of AT&T, can compete as a service against pay subscription services, it could be a game-changer. You have Comcast that has NBC Universal content. Now AT&T is buying Time Warner. So now these guys are thinking, ‘Wow, there’s so many things you might be able to do if you have the right assets and the right weapons.’ If you do, you can maximize the upside of that investment. When you own the content you can do what you want with it.”
Click here to watch the full video “Here Comes Trump: Our Top Five Investing Themes.”
