Netflix CEO Says Comcast Imposed An “Arbitrary Tax” In Interconnection Deal

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Will Netflix end up challenging Comcast’s $45.2B deal to buy Time Warner Cable? It didn’t look that way last month when they made what they described at the time as a “mutually beneficial” interconnection deal that involved Netflix payments to Comcast. But the streaming video company’s chief Reed Hastings cast the agreement in a different light in a blog post today. He called the payments an “arbitrary tax” that he had to pay to improve the quality of transmissions which had slowed on the cable company’s systems.

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