Broadcasters: Impact of Cross-Ownership on Minority/Female Ownership 'Probably Negligible'

In a study submitted to the Federal Communications Commission, the Minority Media and Telecommunications Council and BIA/Kelsey conclude that it appears that “cross-media interests' impact on minority and women broadcast ownership is not sufficiently material to be a material justification for tightening or retaining the [cross-ownership] rules.”

"The results of this study, while not dispositive, do provide evidence that the impact of cross-media ownership on minority and women broadcast ownership is probably negligible," said BIA/Kelsey. One reason they were not dispositive was that the survey was based on only 14 respondents (representing 31 stations) in markets with grandfathered cross-ownership combos and with stations owned by minorities and/or women. BIA/Kelsey conceded more responses would have been preferable, but argued that it was never meant to be a comprehensive, random sample survey of all cross-media combos in markets with minority and women owners. It said the answers it did get were "sufficiently compelling and unambiguous" to support its conclusion of, essentially, no harm, no foul. But there were caveats. MMTC President David Honig pointed out in a letter to the FCC that there was one market in which all the respondents mentioned cross-media interests as having a competitive impact. That came in a medium market with a combination of the only daily newspaper, a full-power TV station and radio stations. A second caveat was that the study only looked at the impact of cross-ownership on diverse ownership.

"MMTC based its conclusions on an opinion survey of existing media owners," said Free Press Policy Director Matt Wood. "This qualitative approach might have yielded some interesting anecdotes, but it's not a substitute for real analysis of likely outcomes from the disastrous rule changes pushed by former [FCC] Chairman [Julius] Genachowski. We'll review the survey, and take part if and when the FCC seeks comment on it. But there's nothing surprising about the fact that MMTC -- a group on the record as supporting more media consolidation -- would design and produce a survey claiming that no harm results from consolidation."