FCC Scraps 39% National Ownership Cap for Local TV Stations

The agency claims this policy change will remove artificial barriers to capital and revenue, allowing broadcasters to compete more effectively in a shrinking media market. FCC Chair Brendan Carr defended the move by citing the industry's struggle to survive, noting that local television needs greater leverage against national networks to sustain local programming investment. He argued that the previous restrictions were outdated, effectively hamstringing stations while digital competition erodes traditional viewership.

However, the decision faces significant legal and political friction. Commissioner Anna Gomez, the sole Democrat on the panel, labeled the proposal illegal, asserting that only Congress possesses the authority to adjust the ownership cap. Senate Commerce Committee Chair Ted Cruz has also expressed skepticism regarding the FCC's unilateral power to bypass the 39% threshold without legislative action. This shift follows the recent $3.54 billion approval of the Tegna acquisition by Nexstar, a deal that already pushes the buyer’s reach to 80% of U.S. households under a specific regulatory waiver.