FCC Streamlines Foreign Ownership Rules and Procedures for Broadcast and Common Carrier Licenses

The Federal Communications Commission adopted rules to extend to broadcast licensees the same streamlined rules and procedures that common carrier wireless licensees use to seek approval for foreign ownership, with appropriate broadcast-specific modifications. The FCC also reformed the methodology for publicly traded broadcast and common carrier licensees and controlling U.S. parents to assess compliance with the statutory foreign ownership limits.

The Communications Act establishes a 25 percent benchmark for foreign investment in U.S.-organized entities that control a U.S. broadcast, common carrier, or aeronautical fixed or en route radio licensee. Licensees must obtain FCC approval before foreign ownership exceeds 25 percent. The substantive review by the FCC of proposed, aggregate foreign ownership above 25 percent will stay in place. As a result, the rules modernize the foreign ownership filing and review processes so they are better adapted to the current business environment.

The FCC adopted the rules on a 5-0 vote.