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The Federal Trade Commission has approved the merger between US heavyweights America Online and Time Warner.

A unanimous vote gave the green light to a combined company with media and internet interests worth £87 billion.

However, the FTC did impose a number of conditions, primarily to protect open competition in broadband technology.

AOL/Time Warner will now have to provide access to its cable systems – which connect 20% of US households – to at least three other ISPs. The FTC will also have the right to approve some contract conditions with ISPs.