GE, Baker Hughes Combine Oil and Gas in New Company

The transcript discusses GE's strategic move to partner with Baker Hughes, highlighting the unique structure of the deal and its implications for the energy sector. It also touches on the broader trend of mergers and acquisitions in the industrial sector, with a specific focus on the CenturyLink and Level 3 deal. The conversation explores the motivations behind these deals, such as cost reduction and competition with major players like Schlumberger.

What was one of the main reasons GE structured the deal with Baker Hughes?

• To merge with Halliburton

• To avoid taxes

• To sell GE stock

• To enter the energy space

What was a unique aspect of the GE and Baker Hughes deal?

• It was blocked by the Justice Department

• It was entirely owned by GE

• It was a merger with Halliburton

• It was a separate company from GE

What was a potential outcome of the GE and Baker Hughes deal according to the discussion?

• It would decrease competition

• It would result in a new company name

• It could lead to more industrial mergers

• It would increase oil prices

What was the value of CenturyLink's acquisition of Level 3?

• $50 billion

• $34 billion

• $10 billion

• $20 billion

What is a common result of industry consolidation as mentioned in the video?

• Increased job opportunities

• Higher operational costs

• Job cuts in HR and IT

• More competition