FCC plans to clear the way for more media consolidation

The Federal Communications Commission will vote next month on whether a single company can own broadcast stations that reach more than 39 percent of US TV households.

In a Breitbart op-ed on Wednesday, Republican Chair Brendan Carr announced an August 6th vote to end the national ownership cap rule, which was intended to prevent one company from dominating the media landscape and incentivize serving local communities. Carr argued the rise of social media and streaming platforms renders the rule obsolete, because national programmers can reach “100 percent of the country” without the need to access public airwaves. Under this reasoning, capping local broadcast TV owners at 39 percent “is preventing them from gaining the same scale that their competitors are free to enjoy.”

The FCC has already said it’s waiving the ownership cap on a one-time basis to allow a $6.2 billion merger between Nexstar and Tegna. A federal judge put the deal on hold while a challenge by state attorneys general plays out.

Carr’s opponents warn that repealing the rule could harm local journalism through reduced competition, and say that only Congress, which set the cap, has authority to raise or eliminate it. “The Commission cannot waive away that limit simply because these corporate behemoths want to get out from under it,” Democratic FCC Commissioner Anna Gomez said in a statement. Broadcasters are already free to make their own websites or cable news stations, just like everyone else, said Matt Wood, vice president of policy and general counsel at nonpartisan nonprofit Free Press. “The national cap is not a special disadvantage for broadcasters,” he said in a statement. “In fact, broadcasters have a special advantage with their exclusive licenses to use precious national airwaves the way they do.”

Carr only needs the support of Republican Commissioner Olivia Trusty to approve an agenda item. But even if the vote clears, it could still face a challenge over whether the FCC has the authority to get rid of the cap.