Donald Trump Backs Nexstar-Tegna Merger as FCC Chair Urges Action
Former President Donald Trump has publicly endorsed the proposed merger between Nexstar and Tegna. This merger is projected to create a significant broadcasting entity, potentially reaching 80% of households across the United States. Trump voiced his support on Truth Social, emphasizing the need for increased competition against major news networks, which he referred to as “fake news.” He believes that allowing the Nexstar-Tegna merger to proceed will enhance competition within the broadcasting landscape.
Details of the Nexstar-Tegna Merger
The $6.2 billion deal would enable Nexstar to operate 265 television stations across 44 states and the District of Columbia. However, the merger currently faces hurdles due to ownership regulations imposed by the Federal Communications Commission (FCC). As it stands, entities are restricted from owning stations that cover more than 39% of the U.S. population. To overcome this barrier, Nexstar is seeking a waiver from the FCC.
FCC Review and Support for the Merger
The FCC is in the process of examining the merger and has indicated a willingness to reconsider the ownership cap. Brendan Carr, the FCC Chairman appointed by Trump, expressed his agreement with the former president’s stance. Carr criticized the current dominance of major networks like Comcast and Disney, suggesting that the Nexstar-Tegna deal could foster genuine competition within the media sector.
Controversy Surrounding the Merger
Trump’s endorsement arrives amidst concerns he previously raised about lifting the ownership cap. Various interest groups have launched campaigns supporting and opposing the merger, with some specifically targeting Trump in their messaging. One campaign, Keep News Local, claims that the merger could “defeat fake news for good.”
- In opposition, Newsmax, led by Chris Ruddy, argues that the merger fosters media conglomeration at the expense of local news.
- Ruddy has filed testimony against Nexstar, asserting that their dominance could lead to reduced diversity in viewpoints and increased consumer costs.
Implications of Broadcast Regulations
Nexstar and Sinclair Broadcast Group were involved in a previous controversy regarding the cancellation of ABC’s “Jimmy Kimmel Live.” The incident highlighted the ongoing tension between editorial control and First Amendment rights within broadcasting. Nexstar’s leadership has defended their actions as responsible editorial choices.
Future Considerations for Broadcasting
As Nexstar seeks merger approval, it continues to navigate a complex regulatory environment. While the National Association of Broadcasters advocates for lifting the ownership cap, concerns about media consolidation and local representation persist. The upcoming Senate Commerce Committee hearing will involve testimony from key industry leaders, including Curtis LeGeyt, NAB’s president and CEO, and Chris Ruddy.
The outcome of this merger has the potential to reshape the broadcasting landscape significantly. As the FCC reviews this transaction, the implications for competition, news diversity, and regulatory frameworks will be closely watched by industry stakeholders and the public alike.
