WASHINGTON—The NAB, a coalition of network affiliates and a number of large broadcast station groups have filed replying comments urging the Federal Communications Commission to end a variety of ownership restrictions and caps.
The filings from the NAB, Sinclair, Scripps, Cox, Nexstar, Fox, Trinity Broadcasting and a coalition of network affiliates also rebutted arguments in FCC filings by unions, public interest groups, nonprofits, individual consumers, pay TV groups and some smaller broadcasters. who oppose eliminating the ownership caps.
The reply comments by the NAB and other broadcasters ’s comments are part of the the Federal Communications Commission’s (FCC) 2022 Quadrennial Regulatory Review. The deadline for comments and reply comments in the Quadrennial Review ended on Jan. 16.
In its reply comments, the NAB once again urged the Commission to modernize local radio and TV ownership rules that no longer reflect today’s media landscape. Despite dramatic changes in how Americans consume media, local broadcasters continue to be shackled by rules first crafted nearly a century ago, severely limiting their ability to compete against streaming giants and big tech companies that are not subject to those regulations, the NAB argued.
More specifically, NAB argued that the record provides no credible justification for retaining local radio and TV ownership restrictions, which artificially limit broadcasters' ability to grow, invest and serve our local communities and that opponents of reform rely on mischaracterized data and legal arguments that ignore today’s competitive landscape.
Removing these outdated restrictions would better position local radio and television stations to compete with Big Tech and deliver diverse, community-focused content, the NAB argued while stressing that the Commission needs to act quickly. Modernizing these rules is essential to ensuring the continued vitality of local broadcasting.
A filing by the ABC Television Affiliates Association, CBS Television Network Affiliates Association, FBC Television Affiliates Association, and NBC Television Affiliates, who collectively represent more than 700 Big Four Network-affiliated local TV stations serving viewers in all 208 Designated Market Areas focused on the need to eliminate Duopoly Rule while retaining the Dual Network Rule.
“As the comment cycle winds down in yet another periodic review of the Commission’s local media ownership rules, the Commission should take note of the latest clear signal from the marketplace that its structural ownership rules don’t serve the public interest and, in fact, have caused real damage to local communities, large and small, across America,” the affiliates argued.
“The Commission must bear its share of the responsibility for the continuing erosion of newsgathering in local communities…In this 2022 Quadrennial Review, the Commission faces the same choice for local television and the local television multiple ownership rule (the “Duopoly Rule”) as it faced for newspapers and the NBCO Rule from 2000 through 2017. The Commission can choose to continue treating local television stations as dominant media players that must be saddled with unique regulations that apply to none of their competitors and no other industry. Or, it can follow Congress’s directive and repeal the Duopoly Rule because (i) abundant competition has made local television stations just one of a plethora of diverse media voices in every market in the country; and (ii) today, the Duopoly Rule damages local television without any benefit – and, in fact, with significant harm – to the public. The Commission can continue treating the only video provider that delivers comprehensive, trusted, reliable local news (for free, over-the-air) as a threat to competition and the public interest. Or, it can craft a regulatory regime that supports local television stations and local news—and gives local television stations at least a fighting chance to continue serving the public and to avoid the fate of The Post-Gazette and so many other local newspapers.”
“The comments in this proceeding leave no doubt that the right choice – and the statutorily mandated choice – is to support local television stations by repealing the Duopoly Rule (and retaining the Dual Network Rule),” the filing concluded.
“The commenters supporting retention of the Duopoly Rule are mainly multichannel video industry participants led by DirecTV and NCTA that see the Duopoly Rule primarily as a vehicle for trying to save money on their retransmission consent costs, and so-called “public interest” groups that reflexively favor regulations regardless of their continuing utility," the affiliate contended. "These commenters urge the Commission to maintain the status quo even as the marketplace undergoes massive changes and the share of video viewing and advertising dedicated to local broadcasting continues to shrink."
"On the other side of the ledger, NAB, the Affiliates Associations, and several broadcast television station groups have told the Commission in no uncertain terms that retaining the Duopoly Rule will lead to further decline of local broadcast stations and less local news for communities across the country," the filing noted. "The choice facing the Commission is stark, and the stakes couldn’t be higher. The Affiliates Associations urge the Commission to take action now and repeal the Duopoly Rule. And for the same reasons – to serve the public interest and advance localism – the Commission should retain the Dual Network Rule.”
Filings by Fox argued that the commission should eliminate the Dual Network Rule that prohibits mergers between the four largest broadcast networks because mergers would give the broadcasters the scale they need to compete with big tech companies.
“As fully set forth in their initial comments, the Affiliates Associations strongly disagree,” the affiliates argued. “Whereas the Duopoly Rule is a general broadcast industry regulation designed to establish the structure of local broadcast markets, the Dual Network Rule is a special-purpose rule designed to maintain balance between the national Big Four Networks and their local Affiliates. The Dual Network Rule alone has not been enough to restrain the Big Four Networks from taking increasing control of their Affiliates’ finances and programing; getting rid of the Dual Network Rule would only exacerbate that problem. The Commission is examining the Network-Affiliate relationship in another proceeding, and removing the Dual Network Rule while the Commission compiles its record therein would be a mistake.”
The FCC under Chairman Carr has opened a proceeding examining the relationship between the major networks and affiliates as part of a larger effort to strengthen local broadcasters and reduce the influence of what he sees as liberal “bias” in their news and programming.
The full filings from the NAB and others can be found here:
- NAB: https://www.fcc.gov/ecfs/document/1011675548753/1
- Scripps: https://www.fcc.gov/ecfs/document/101160180604198/1
- Cox: https://www.fcc.gov/ecfs/document/1011678897994/1
- Nexstar: https://www.fcc.gov/ecfs/document/101162933922349/1
- Affiliate Groups representing ABC, CBS, NBC and Fox: https://www.fcc.gov/ecfs/document/1011600367418/1
- Sinclair: https://www.fcc.gov/ecfs/document/10116778908637/1
- Trinity Broadcasting: https://www.fcc.gov/ecfs/document/1011639008746/1
- Fox: https://www.fcc.gov/ecfs/document/1011615031709/1
NAB
https://www.fcc.gov/ecfs/document/1011675548753/1
Scripps
https://www.fcc.gov/ecfs/document/101160180604198/1
Cox
https://www.fcc.gov/ecfs/document/1011678897994/1
Nexstar
https://www.fcc.gov/ecfs/document/101162933922349/1
Affiliate Groups Representing ABC, CBS, NBC and Fox
https://www.fcc.gov/ecfs/document/1011600367418/1
Sinclair
https://www.fcc.gov/ecfs/document/10116778908637/1
Trinity Broadcasting
https://www.fcc.gov/ecfs/document/1011639008746/1
Fox
