FCC’s Deregulation Efforts Under Trump Administration

The Federal Communications Commission (FCC) has made substantial progress in transforming the American media landscape during the initial six months of the second Trump administration. With Chairman Brendan Carr at the helm, the FCC has quickly pursued a deregulatory agenda focused on fostering innovation, modernizing the communications industry, and addressing media bias.

However, as the Commission seeks to update or eliminate outdated media regulations, it’s crucial to recognize the evolving media landscape. Care must be taken to avoid simply replacing old rules with new, equally burdensome regulations.

One specific regulation under examination is the limitation on the number of stations that television broadcasters can own. Currently, they can own as many stations as they want, provided the total coverage does not exceed 39% of U.S. households. This rule dates back to 2004 and hasn’t been amended to reflect the rapidly changing media environment. It’s worth noting that back then, platforms like Amazon Prime didn’t exist, Netflix was still mailing DVDs, and “The Apprentice” was just starting its second season on NBC.

While this ownership cap may have made sense years ago, it now hinders local broadcasters from competing with digital streaming services that can reach all households. Data from May 2025 reveals that streaming made up 44.8% of all TV viewing, eclipsing both broadcast (20.1%) and cable (24.1%). Meanwhile, traditional broadcasters are still restricted by systems that are now outdated.

The FCC has opened up discussions about revisiting this antiquated rule, inviting public comment to assess whether such restrictions are still relevant. This move signals a growing consensus, as noted by Chairman Carr, about the need for reform to adapt to modern realities.

Additionally, there have been proposals concerning “reverse compensation” fees—fees that affiliate stations pay to networks for broadcasting content. Historically, it was the networks that compensated local stations for airing their programming. Now, however, local affiliates pay for the rights to broadcast major events and popular shows, which generates viewer interest and attracts advertisers.

Some have suggested capping these fees at 30% to protect local broadcasters from legacy media disadvantages. But this could inadvertently lead to government-imposed price controls, potentially harming local broadcasters and their ability to provide essential programming, like major sporting events. If audiences can’t find popular content on free television, many might turn to subscription services, which would be a loss for both broadcasters and viewers who depend on local news.

Another suggestion has been to classify streaming services as multi-channel video programming distributors (MVPDs), a proposal that Rep. Brett Guthrie has openly opposed, deeming it misguided.

There are concerns that proposed deregulation may apply selectively, inadvertently sidelining some broadcasters while favoring others. Such selectivity doesn’t seem fair or logical; local stations owned by large networks like Fox often serve their communities effectively.

The real solution lies in modernizing the regulatory framework itself—lifting restrictions on television ownership to let both traditional and digital players compete on equal footing.

Chairman Carr’s initiative aims to eliminate excessive regulations. This deregulation isn’t merely a conservative agenda but a necessary pivot that will help the U.S. remain a leader in innovation. Local broadcasters need support to thrive in this competitive media atmosphere.

The FCC is set to take action soon, especially with an upcoming public committee meeting in July, and a restored quorum might tilt the balance to a 2-1 Republican majority. This is an optimal moment for the FCC to adopt a technology-neutral stance in its regulations, reflecting the current landscape instead of outdated paradigms. Rather than imposing regulations that disguise themselves as competitive enhancements, it’s vital to create an environment where all market participants can thrive.

Roy Brandt, a former U.S. Senator from Missouri, has significant experience in media policy efforts aimed at modernizing communications laws.