AT&T Inc. reached a deal on Saturday to buy Time Warner Inc. for $85.4 billion to create a telecom-media giant in one of the biggest acquisitions this year.

The deal combines Time Warner content providers including Warner Bros. film, CNN and HBO with AT&T’s mobile and broadband networks to compete with rivals such as Netflix and Amazon in the streaming service business.

“Premium content always wins. It has been true on the big screen, the TV screen and now it’s proving true on the mobile screen,” Randall Stephenson, AT&T chairman and chief executive officer, said in a release.

“We’ll have the world’s best premium content with the networks to deliver it to every screen.”

AT&T will pay $107.50 per Time Warner share, paid half in cash and half in stock, and aims to complete the deal, which is subject to regulatory approval, by the end of 2017.

U.S. media and telecommunications companies have been involved in major industry consolidation driven by fierce competition for subcribers and rapid change in the content distribution sphere as a result of evolving technology.

Cable TV operator Comcast Corp. purchased NBC Universal in 2011, while CBS Corp. and Viacom Inc. are reportedly planning to merge. AT&T bought DirecTV for $48.5 billion last year.

Rupert Murdoch’s Twenty-First Century Fox Inc. proposed a buyout of Time Warner in 2014, while Apple Inc. had also reportedly considered the purchase of the entertainment company.