New York state regulators on Friday moved to kick Charter Communications and its Spectrum cable service out of the state, saying the company hadn't fulfilled its obligations to expand broadband service.
The Public Service Commission rescinded its 2016 order approving Charter's purchase of Time Warner Cable, which made the company one of the dominant providers of TV and Internet service in New York City.
The commission unanimously approved the move at a meeting Friday.
"With its decision, the Commission determined that Charter failed to deliver the benefits to New Yorkers that were at the core of the merger approval," the commission said in a statement.
It ordered Charter to provide a plan within 60 days to dispose of its New York assets. The commission also ordered its attorneys to file a civil action against Charter to recover penalties.
Charter, which has been battling the commission over its efforts to expand broadband service, said the move was political.
"In the weeks leading up to an election, rhetoric often becomes politically charged. But the fact is that Spectrum has extended the reach of our advanced broadband network to more than 86,000 New York homes and businesses since our merger agreement with the PSC. Our 11,000 diverse and locally based workers, who serve millions of customers in the state every day, remain focused on delivering faster and better broadband to more New Yorkers, as we promised," the company said in a statement after the commission's decision.
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Charter shares fell as much as 1 percent on the news.
