Allied Progress Calls on the FCC to “Stop The Clock” on the Sinclair-Tribune Merger
Sinclair Has Failed to Answer Even the Most Basic Questions about the Impact of a Proposed Merger with Tribune Media
WASHINGTON, D.C. – Today, Allied Progress is calling on the Federal Communications Commission (FCC) to stop the clock on Sinclair’s proposed merger with Tribune Media. It is now more than 100 days into the FCC’s 180-day review of the merger and the company has failed to address fundamental issues, despite repeated requests for information by consumer groups, other media companies, and the FCC. Historically, under both Democratic and Republican administrations, the FCC has “stopped the clock” until important questions like these are answered.
“Over 100 days into the review period, the Sinclair merger has sailed through the FCC with little resistance. Yet time and again Sinclair has failed to answer fundamental questions, such as how do consumers benefit from giving one company access to three out of four U.S. households,” said Karl Frisch, executive director of Allied Progress.
He continued, “From the sycophantic pro-Trump content, to the threat posed to industry competition, to likely price increases for consumers, the FCC has every reason to stop the clock on this review. It’s time to finally get some answers from Sinclair, and it’s time for the FCC to do their job.”
Sinclair has failed to address how their proposed merger is compliant with several major FCC rules, including:
- The duopoly rule that prohibits ownership of two of the top four-ranked television stations within the same Designated Market Area.
- The national cap, which states that a single entity can’t own television stations that, in total, reach more than 39% of all television households in the nation. Even by Sinclair’s own count, they would own more than 45%.
- How the merger would be in the public interest.
Sinclair has close ties with the Trump Administration and the FCC, the regulative body that oversees the company. The FCC’s new leadership has paved the way for Sinclair to become the largest owners of local TV stations in US history, a fact that Sinclair’s CEO recently bragged about when he said that the, “FCC has been very constructive.”
If the deal goes through, Sinclair’s right-wing content would reach 72 percent of U.S. households, hampering competition and driving up costs for consumers.
Under Republican and Democratic Administrations, the FCC has often stopped the 180-day clock on mergers of media companies. Examples include:
- AT&T/DirecTV: Clock stopped to provide time for parties to review confidential information that was filed in the record. [“FCC pauses clock on AT&T-DirecTV, Comcast-TWC merger reviews,” Reuters, 10/22/14]
- Comcast/TWC: Clock stopped to provide time for parties to review confidential information that was filed in the record. [“FCC pauses clock on AT&T-DirecTV, Comcast-TWC merger reviews,” Reuters, 10/22/14]
- Charter/TWC: Clock stopped after responses were provided to an information request. [“MB Sends Letter Pausing our 180-day Informal Time Clock,” Federal Communications Commission, accessed 10/05/17]
- Comcast/NBCU: Clock stopped after FCC requested additional economic reports and those reports could not be filed within the comment period. [John Eggerton, “Comcast-NBCU: FCC Stops Clock on Merger Review,” Broadcasting & Cable, 04/17/10]
- Tribune: Clock stopped while waiting for bankruptcy court to approve restructuring. [“Tribune, MB Docket 10-104,” Federal Communications Commission, accessed 10/05/17]
- NewsCorp/DirecTV (2003): Clock stopped due to supplemental document request and coordination with DOJ. [“General Motors Corporation, Hughes Electronics Corporation, And The News Corporation Limited,” Federal Communications Commission, accessed 10/05/17]
- Univision/Hispanic Broadcasting Corp. (2003): Clock stopped for coordination with DOJ. [“Hispanic Broadcasting Corporation & Univision Communications, Inc.,” Federal Communications Commission, accessed 10/05/17]
They have also stopped their 180-day clock on the following telecom-related mergers:
- CenturyLink/Level 3: Clock stopped after applicants indicated they would file additional data to supplement a prior request for information. [“Re: CenturyLink, Inc. and Level 3 Communications, Inc. Consolidated Applications for Consent to the Transfer of Control of Licenses and Authorizations (WC Docket No. 16-403),” Federal Communications Commission, 06/09/17]
XO/Verizon: Clock stopped after applicants failed to timely file supplemental information. [“Re: XO Holdings and Verizon Communications Inc. Consolidated Applications for Consent to Transfer of Control of Domestic and International Authorizations Pursuant to Section 214 of the Communications Act (WC Docket No. 16-70,” Federal Communications Commission, 06/20/16]
To speak with Karl Frisch about the Sinclair-Tribune merger, please contact Annette McDermott at 202-697-4804 or annette@alliedprogress.org.
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