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[BUSINESS] · United States · 2 sources

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Cable industry groups to sue FCC over national TV ownership cap repeal

Cable industry lobby groups have notified the Federal Communications Commission (FCC) of their intent to sue the agency to block the repeal of the National Television Ownership Rule. This rule currently prevents any single broadcast station owner from reaching more than 39 percent of all television households in the United States.

The cable groups, which represent major providers such as Comcast, Charter, and Cox, argue that the repeal is “arbitrarily and capriciously” ignoring potential harms. They contend that allowing broadcast groups to exceed the cap will grant them leverage to demand higher retransmission fees, ultimately leading to “higher monthly TV bills for consumers.”

The legal challenge centers on whether the FCC has the authority to eliminate the cap. The cable groups claim the repeal violates a 2004 Congressional action that established the 39 percent threshold. Conversely, the FCC maintains it has the obligation to modify or repeal rules in response to changing circumstances and argues that the 2004 law directed the commission to modify rules rather than enacting a fixed cap into law.

As a procedural step, the groups have submitted a petition asking the FCC to maintain the current cap until litigation is resolved. They intend to seek a preliminary injunction in a U.S. appeals court once the FCC order is published in the Federal Register.

Entities

Charter Communications · Comcast · Cox Communications · Federal Communications Commission