Good morning, and Happy Friday.

 

Shares of Time Warner spiked nearly 5% on Thursday following a report that the media and entertainment giant held informal discussions with AT&T about a possible merger. We are not sure how serious the talks were, as neither side has hired a financial adviser. And we’re not sure what regulators would think of such a massive combination.

 

But it is one more sign of how the barriers between industries are falling. AT&T CEO Randall Stephenson is reportedly intent on adding more original content to his company’s portfolio as he looks toward turning his telecommunications giant into a media and entertainment behemoth. AT&T is just over a year removed from closing its massive, $49 billion purchase of DirecTV. Meanwhile competitor Verizon is gobbling up Yahoo following its purchase of AOL.