FCC TV Ownership Rules and Unintended Consequences

[Commentary] I have longtime friends who believe that the public interest requires the Federal Communications Commission to strictly limit the ownership of multiple TV stations. I genuinely understand and respect their opinions. But, my personal experience over 40 years in the industry suggests that TV ownership limits intended to enhance diversity may, in fact, prevent the creation of meaningfully diverse competitors.

Some of my longtime friends seem to oppose repeal of the TV station ownership rules because one beneficiary of repeal might be Sinclair Broadcasting Company, a company widely believed to have conservative views. But these same friends would be the first to insist that Federal licensing decisions cannot — must not — be based on political views. I have not always been on the same page with Sinclair, particularly during a business dispute over the first round of Fox affiliation renewals. But, Sinclair has emerged as a genuine television industry leader, especially on technology issues. And, for all we know, the next beneficiary of deregulation could be Tegna, Scripps, George Soros or Tom Steyer. And that is what free markets, competition and diversity are all about. My real world experience with the television ownership rules leaves no doubt that consumers will be well served by their repeal.

[Preston Padden is the former president of the ABC Television Network and EVP of parent, the Walt Disney Company.]