NAB: Ownership Rules Put Broadcasters' Future In Jeopardy

The National Association of Broadcasters told the Federal Communications Commission that not only are duopoly limits and cross-ownership restrictions unnecessary, they work against the FCC's stated goals of encouraging "competition, localism and diversity."

In comments on the FCC's proposed conclusion of its quadrennial ownership rule review and its remand from the Third Circuit, NAB said that the FCC will jeopardize broadcasters' future if it fails to reform the rules so that broadcasters can adopt "economically sustainable" ownership structures. NAB argues that there is "abundant evidence" that mobile and digital media have produced unprecedented competition, and that last-century limits on broadcast station ownership in a market or ownership of other media limit stations' viability, particularly smaller and mid-sized stations. The rules work against localism, NAB argues, because if stations were allowed to combine resources in smaller markets, they could take advantage of economies of scale to devote resources to local services, including news.