FCC Challenges Ruling on TV Ownership Cap
The Federal Communications Commission challenged an appeals court decision setting aside a limit on the television stations News Corp., Viacom Inc. and other media companies may own.
The U.S. Court of Appeals for the District of Columbia Circuit in February told the FCC to rewrite a rule that limited companies to reaching 35% of TV homes with their stations.
The FCC asked the court to reconsider its decision. Consumer advocates and smaller TV station groups support the cap, saying it boosts diversity and competition. News Corp. and Viacom, each reaching about 39% of TV homes, challenged the limit as obsolete amid cable and Internet options.
The court ruling “imposes a substantial and continuing burden on the agency that threatens administrative paralysis,” the FCC said in its appeal filed with the court.
FCC Chairman Michael K. Powell has said the February decision makes it hard for the agency to maintain other media ownership rules.
The court said in the ruling that the FCC had to prove every two years that each ownership restriction continued to be necessary.
News Corp. spokesman Andrew Butcher said the FCC’s appeal won’t affect the company.
Viacom declined to comment.
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