The Federal Communications Commission is set to vote on August 6th on a proposal that would eliminate the national broadcast ownership cap, a long-standing rule designed to prevent any single company from controlling stations that reach more than 39 percent of American television households. Republican FCC Chair Brendan Carr announced the planned vote in a Breitbart op-ed published on Wednesday, framing the decades-old regulation as an outdated constraint on traditional broadcasters.
The ownership cap was originally established to prevent excessive media consolidation and to ensure that broadcasters continued serving local communities. Carr, however, contends that the media landscape has shifted so dramatically that the rule no longer serves its intended purpose. He pointed to the rise of social media platforms and streaming services, noting that national programmers can now reach what he described as 100 percent of the country without needing access to public airwaves. Under this reasoning, he argued, limiting local broadcast television owners to 39 percent of the market is preventing them from achieving the same scale that their competitors already enjoy.
Nexstar-Tegna Merger Already Tested the Limits
The push to scrap the cap comes as the FCC has already taken steps to relax the rule in specific cases. The commission previously agreed to waive the ownership cap on a one-time basis to clear the path for a $6.2 billion merger between Nexstar and Tegna, two of the country's largest broadcast station groups. However, that deal is currently on hold after a federal judge paused proceedings while a legal challenge from state attorneys general works its way through the courts.
The Nexstar-Tegna case has underscored the tension between consolidation-minded broadcasters and regulators concerned about market dominance. Critics of the merger argue that further consolidation could reduce the diversity of voices in local media markets and limit competition among news outlets.
Opponents Warn of Threats to Local Journalism
Carr's broader proposal to eliminate the cap entirely has drawn sharp criticism from Democratic commissioners and public interest groups. Democratic FCC Commissioner Anna Gomez pushed back forcefully, arguing that the FCC does not have the legal authority to simply discard a limit established by Congress. In a statement, she said the Commission cannot waive away that limit simply because corporate behemoths want to get out from under it.
Opponents also challenged Carr's central argument that broadcasters are at a competitive disadvantage. Matt Wood, vice president of policy and general counsel at the nonpartisan nonprofit Free Press, noted that broadcasters already have the freedom to build their own websites and launch cable news operations, just as any other media company can. He argued that the national cap is not a special disadvantage for broadcasters and that, in fact, broadcasters enjoy a special advantage through their exclusive licenses to use precious national airwaves.