New York, USA – The Federal Communications Commission has made a significant ruling that impacts the media landscape in New York City and potentially beyond. The decision involves the ownership of local TV giant Nexstar Media Group, specifically its takeover of WPIX-TV in 2020, which has been found to violate federal limits on station ownership.
Following the ruling issued by the regulatory agency on Thursday, Mission Broadcasting, Nexstar’s partner in WPIX, has been instructed to sell the station. In the event of non-compliance, Nexstar is allowed to absorb WPIX under its umbrella and divest other stations in its portfolio to adhere to ownership restrictions set by the FCC. Moreover, the company has been fined $1.2 million for the violation.
Nexstar has responded to the ruling by expressing its intention to vigorously contest the decision. WPIX, a longstanding entity in New York media since its establishment in 1948, has been associated with The CW network since 2006. The acquisition of WPIX by Nexstar in 2020, under a local marketing agreement with Mission, has raised concerns about potential breaches in ownership regulations.
The FCC noted that Nexstar’s actions constituted an “unauthorized transfer of control” and surpassed the established cap of 39% of U.S. TV households reached by a single owner, as stated in the ruling. Despite CEO Perry Sook’s disappointment with the decision, Nexstar is prepared to challenge the ruling and defend its compliance with FCC regulations.
Comcast’s complaint regarding the ownership of WPIX played a significant role in prompting the FCC’s investigation and subsequent ruling. FCC Chairwoman Jessica Rosenworcel emphasized the agency’s responsibility to enforce ownership regulations, especially regarding companies exceeding the threshold of audience reach. Republican commissioner Brendan Carr raised concerns about potential inconsistencies in the FCC’s assessment and emphasized the need for careful consideration in addressing enforcement actions.
Ultimately, the ruling on Nexstar’s ownership of WPIX-TV in New York reflects ongoing scrutiny of media ownership practices and the efforts to ensure compliance with established regulations. The decision has implications not only for Nexstar but also for the broader media industry as regulatory agencies uphold standards to promote fair competition and diversity in broadcasting.