In a historic vote on Thursday morning, the Federal Communications Commission (FCC) voted along party lines to overturn a key check against the consolidation of the television industry, throwing out a rule that prevented any one company from owning stations that collectively reach more than ۳۹% of all US TV households.
The vote is a win for television conglomerates that aim to expand their reach across the country, particularly conservative-leaning companies like Sinclair Broadcast Group and Nexstar.
In a presentation endorsing the move, the FCC’s media bureau told commissioners on Thursday that the cap was no longer necessary in the current media environment, and that instead of promoting competition, it “constrains” local television networks from increasing their scale.
The initiative was supported by FCC chair Brendan Carr and Trump-appointed commissioner Olivia Trusty, who said she did not see it as a “silver bullet” to address all issues with competition – but viewed it as a meaningful step to help broadcasters.
Carr argued that repealing the cap would serve to benefit local broadcasters, although large media conglomerates will most immediately benefit from the decision.
“The FCC has the authority to modify the cap as we did today, and it is the right policy answer [if] you care about the future of trusted local news,” he said. “It’s time to restore balance to the broadcast airwaves. Repealing the national cap will provide essential relief for local broadcasters by restoring a healthy counterbalance for the growing leverage and power of national programmers.”
The ۳۹% “national cap”, as it is called, came out of a ۲۰۰۳ compromise hammered out by congressional negotiators.
Anna M Gomez, the lone Democrat on the FCC, voted against overturning the cap, an action she said was “unlawful” and would hurt local journalism.
“Today’s decision to eliminate the ۳۹% national audience reach cap is unlawful on its face and a profound departure from both statutory boundaries and longstanding broadcast policy,” she said. “Congress set this cap in federal law, and only Congress can change it. I cannot support an action that so plainly violates the law and exceeds the Commission’s authority while simultaneously overlooking the real-world consequences for the public we serve.”
While the $۶.۲bn merger of mega-broadcasters Nexstar and Tegna is now on ice after a California judge issued a temporary injunction holding it up, the FCC in March granted a waiver of the ownership cap to approve the deal, arguing that the commission had the “authority” to do so.
Nexstar, in particular, has seemed to take steps to stay in Carr’s good graces. Nexstar was one of two major owners of local television stations that acted quickly to pre-empt broadcasts of Jimmy Kimmel’s late-night show after it drew Carr’s ire in September ۲۰۲۵.
Chris Ripley, the chief executive of Sinclair, said on an earnings call Wednesday that he “couldn’t be happier” about the overturn of the cap.
The ۲-۱ vote drew heavy criticism from groups that advocate for press freedom and media pluralism. A group of protesters demonstrated outside the FCC building in Washington, holding out photos of Carr’s face with the word “shame” on it.
“Changing this limit requires congressional action, but Carr doesn’t care,” said Matt Wood, vice-president of policy and general counsel of Free Press, an advocacy organization that aims to promote free speech, in a statement. “He’ll do whatever it takes to clear the way for Trump-aligned billionaires to swallow up stations wherever and whenever they please. The result would be just one or two dominant broadcasters in every market, deep job cuts for journalists and an influx of bargain-basement content disguised as local news. This spells disaster for the local communities that broadcasters are supposed to serve.”
Clayton Weimers, executive director of Reporters Without Borders North America, said the move is not just deregulation, but also a “consolidation in the interest of the powerful”.
“The FCC has abandoned one of the last significant safeguards against excessive concentration of media ownership in the United States,” Weimers said. “Americans are already confronting the collapse of local news, rising political pressure on independent media and an increasingly toxic online information space. Rather than strengthening media pluralism, the FCC is accelerating its erosion.”
Free Press said after the vote that the group and its “allies” would challenge the decision in court.
In a press conference after the FCC’s monthly meeting, Carr said: “If it goes to the courts, it goes to the courts. And we’ll litigate it and see where it goes.”
