The Federal Communications Commission voted 2-1 along party lines on Thursday morning to overturn a key limit on television consolidation, repealing the rule that barred any one company from owning stations reaching more than 39% of all US TV households. The decision is a major win for television conglomerates seeking to expand nationally, especially conservative-leaning companies like Sinclair Broadcast Group and Nexstar.
Why did the FCC act now?
The FCC’s media bureau told commissioners on Thursday that the cap was no longer needed in the current media environment and that, rather than promoting competition, it “constrains” local television networks from growing their scale. The proposal was backed by FCC chair Brendan Carr and Trump-appointed commissioner Olivia Trusty, who said she did not view it as a “silver bullet” for competition concerns but believed it was a meaningful step to help broadcasters.
Carr said repealing the cap would help local broadcasters, though the immediate benefit would likely go to large media conglomerates.
“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 39% “national cap”, as it is called, came out of hammered out by congressional negotiators.
Who opposed the change?
Anna M Gomez, the lone Democrat on the FCC, voted against overturning the cap and said the move was “unlawful” and harmful to local journalism.
“Today’s decision to eliminate the 39% 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.”
How does this affect major media deals?
The decision comes as the $6.2bn merger of mega-broadcasters Nexstar and Tegna remains 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, saying it had the “authority” to do so.
Nexstar, in particular, has appeared keen to stay in Carr’s good graces. Nexstar was one of two major owners of local television stations that moved quickly to pre-empt broadcasts of Jimmy Kimmel’s late-night show after it drew Carr’s ire in September 2025.
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.
Why is the decision controversial?
The 2-1 vote drew heavy criticism from press freedom and media pluralism groups. Protesters gathered outside the FCC building in Washington, holding photos of Carr’s face with the word “shame” on them.
“Changing this limit requires congressional action, but Carr doesn’t care,”Matt Wood, vice-president of policy and general counsel of Free Press, said 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 was 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.”
