  We present new interferometer observations of the CO(1-0) line and mm
continuum emission from 3C48 - one of the nearest examples of a merger
activating a quasar. Our new CO data show that most of the CO is not in a disk
around the quasar 3C48, but rather in a second nucleus associated with the
source 3C48A ~1" to the north-east, recently studied in the near-IR by Zuther
et al. (2004). This main CO source has a strong velocity gradient (140km/s over
about 1"). Our new data also show a second, weaker CO source at the QSO itself.
At 1.2mm, the continuum emission is elongated in the direction of the radio jet
and towards 3C48A. We model the 1.2mm continuum with three different sources in
3C48 - the 3C48 QSO, the 3C48 jet, and the second nucleus 3C48A. We suggest
that the unusually bright and extended nature of the jet may be due to its
interaction with the second merger nucleus 3C48A.
