Federal Communications Commission scraps limit on broadcast TV ownership

The Federal Communications Commission voted Thursday to eliminate a cap on the share of U.S. television households a single company can reach. The agency said the 2-1 vote repealed a 22-year-old rule holding that a company cannot own stations that reach more than a combined 39% of the U.S. television audience. The ownership limit will be replaced by a case-by-case approach. FCC Chairman Brendan Carr said the cap no longer constrains the power of national programmers and instead prevents local broadcasters from competing on a level playing field. Commissioner Anna M. Gomez called the vote unlawful on its face. She said eliminating the cap does not free local broadcasters from economic pressure but changes who is doing the squeezing. The decision delivers a win to Nexstar Media Group, the nation's largest owner of local television stations. Nexstar is seeking to acquire rival broadcaster Tegna in a $6.2 billion deal. The combined entity would reach at least 60% of U.S. households. Free Press said it planned to sue over the FCC's action. Sen. Elizabeth Warren said the move looks like an attempt to roll out the red carpet for more antitrust disasters.