AOL/Time Warner merger wins final approval

The $106 billion merger of America Online and Time Warner has cleared its final US government hurdle.

The $106 billion merger of America Online and Time Warner has cleared its final US government hurdle.

The Federal Communications Commission's approval lets the two companies forge on to complete a deal announced a year ago.

The new business, to be called AOL Time Warner, combines the largest US Internet provider and a media titan that owns such popular entertainment titles as CNN, HBO, Sports Illustratedand Warner Bros.

The FCC approved the deal after requiring the companies to take modest steps to open AOL's widespread instant messaging service to rival providers over Time Warner's cable lines.

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That issue caused protracted debate at the FCC even though approval has long been expected.

Anti-trust regulators at the Federal Trade Commission cleared the deal in December but imposed broad restrictions to preserve consumer choice as the merged company gains a foothold in the markets for such services as high-speed Internet access.

PA