FCC OKs controversial media-ownership rule

Fellow Republican Commissioner Robert McDowell also defended the proposal, noting the explosion of new media in the modern marketplace and the agency's lengthy review. He denied the proposal was "pockmarked with loopholes" as claimed by the Democrats.

Martin, addressing the comment about the new markets, said the great majority were existing combinations that predated the 1975 ownership ban. The others are apparently stations owned by companies that have yet to renew their licenses and not been forced to comply with the ban.

The cross-ownership ban was approved by the FCC in 1975 to serve "the twin goals of diversity of viewpoints and economic competition." The FCC noted at the time that "it is unrealistic to expect true diversity from a commonly owned station-newspaper combination."

Opponents of the ban say in the past decade there has been an explosion of news outlets thanks to cable television and the Internet and that such restrictions are no longer necessary. Ban supporters say there may be additional outlets, but there has been no corresponding increase in news gatherers and producers, especially at the local level.

On Monday, 25 senators, including four Republicans, sent Martin a letter threatening that if he goes ahead with the vote, they will move legislation to revoke the rule and nullify the commission's action.

But a letter that surfaced later the same day makes it clear that the chairman has the full support of the White House. Commerce Secretary Carlos Gutierrez wrote Senate Majority Leader Harry Reid on Dec. 4 opposing a Senate bill that would have delayed the vote, "or any other attempt to delay or overturn these revised rules by legislative means."

The agency first tried to loosen the ban in 2003, but the move was rejected by a federal appeals court. Since then, the commissioners have been trying to craft a new set of rules that will survive judicial scrutiny.

Under Martin's proposal, one entity would be permitted to own a newspaper and one broadcast station in the same market.

But it must be among the 20 largest media markets in the nation and following the transaction, at least eight independently owned-and-operated media voices must remain. In addition, the television station may not be among the top four in the market.

The FCC at one time capped cable subscribership at 30 percent, but the limit was invalidated by a court decision in 2001. The cap will prevent large cable companies like Comcast from getting larger.

Comcast Corp., the nation's largest cable company, reported 26.2 million subscribers to the FCC through Sept. 30, for a nationwide market share of all pay-television subscribers of 27 percent.

McDowell said the cap is out of date, bad public policy and will be struck down again in court. He described the rule as "the ghost of Christmas past."

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