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US communications regulator loosens media ownership rules
3 hours ago
The US Federal Communications Commission on Thursday voted in favour of relaxing restrictions on media ownership, a move that could spark a new flurry of activity among local media companies.
The proposal approved in a 3-2 commission vote on Thursday would ease some of the decades-old restrictions on cross-ownership of certain types of local media, including TV and radio stations and newspapers, within individual markets.
While the rules were intended to protect diversity of coverage, FCC chair Ajit Pai — who has served on the commission since 2012 and was tapped by US President Donald Trump to lead the regulator earlier this year — has criticised them as outdated in an era of the Internet and social media.
Fitch Ratings analysts said in a report earlier on Thursday that the new rules could allow for more deal-making in the sector, through purchases, sales, spin-offs and swaps under which TV stations can boost their portion of particular markets.
“Market participants generally expect a loosening of the rules, which will allow for more deal making. Elimination of restrictive cross-media ownership rules are less likely to have an immediate impact, though they could spur more local TV broadcasters to acquire newspapers in the same market given the value of the local news content from the newspapers and potential cost synergies associated with that type of consolidation. Fitch believes that local news content is a valuable asset and could be desirable for local news content creators like TV broadcasters.”
It could also be a boon for Sinclair Broadcasting’s $3.9bn deal for Tribune Media Company, Fitch said, “as it could limit the number of stations that will need to be divested in overlapping markets and provide opportunities for advantageous station swaps.
Sinclair shares were up 3.6 per cent to $32.22, while Tribune Media shares ticked up 0.7 per cent to $41.14.
Yeah. 
force to RIOT the nation.
