NABOB Opposes Lifting Ownership Caps


The National Association of Black Owned Broadcasters has filed its comments with The FCC regarding the upcoming Quadrennial Review of ownership rules. The organization believes that any change in the local radio ownership rule to allow increased consolidation will have a significant negative impact on African Americans and other minority station owners. And any elimination or relaxation of the subcap rules would also be damaging to AM radio.

NABOB states that ownership of broadcast radio and television stations has been in steady decline ever since Congress repealed the minority tax certificate policy in 1995 and the Supreme Court decided the Adarand case in 1995, and Congress passed the Telecommunications Act of 1996. “The proponents of elimination or relaxation of the Subcaps rule have put forth justifications for these rule changes that are not supported by the facts. Advertisers are unlikely to shift dollars away from Facebook, Google, and other Internet companies to broadcast media, because advertisers recognize that the two media deliver audiences in very different ways. Advertisers seeking to buy radio can buy it now regardless of who owns the stations.

NABOB CEO Jim Winston says the reasons given for eliminating or radically relaxing the Commission’s local radio ownership rule are not adequate to justify increased consolidation of ownership in local radio markets. “The AM radio industry would be greatly injured by the proposals that have been put forth. We are pleased to see iHeartMedia and other companies rejecting these proposals.”


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