FCC Chair Ken Carr speaking at CPAC
Image Source: KPAX
The local television space could potentially get even smaller and more homogenized. A new ruling from the FCC has repealed the cap on ownership of individual television stations. This means that corporations can essentially own as many stations as they want, which means that companies such as Sinclair, Nexstar, and EW Scripps could potentially buy up entire markets, shifting the landscape further from local to national ownership. Rather than a 39% cap, FCC chair Brendan Carr says that it will be replaced by a “case-by-case review,” which will give him more power over deals involving local television stations. This move is also a boon for right-leaning media companies aligned with President Trump, but those who support the cap say that congress is the only one who has the authority to make this change.
In particular, this decision has received pushback from the governor of California, Gavin Newsom. He argues that the move would accelerate the consolidation of media and threaten local news.
“This will make it easier for Trump, through his proxies and toadies, to control what Americans see, hear, and read,” Newsom said, “This attack on independent, local news is straight out of a dictator’s playbook.”
In addition, this decision comes off the heels of a merger deal with Nexstar and Tenga, which was halted in March due to the deal handing over 80% ownership of the country's television stations to one corporation. This decision may be a factor in the ongoing lawsuit.
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