FCC Postpones Hearings On New Media Ownership Rules

The new political split between FCC commissioners has derailed its vote yesterday to start hearings that would write new media ownership rules.

With the resignation of former Chairman Michael Powell in March, the commission is split between two Democrats and two Republicans. FCC Chairman Kevin Martin had hoped to get the media ownership provision moving on Thursday.

The Republican-appointed chairman is pushing to relax media ownership rules. Media companies say the existing rules are outmoded because the media industry has been greatly altered by cable TV, satellite broadcasts, and the Internet. Media critics say the easing would likely lead to a wave of mergers, and would result in a few giant media companies having control.

In 2003, the FCC relaxed decades-old rules permitting companies to buy more television stations and own a newspaper and a broadcast outlet in the same city.

Democratic commissioner Michael Copps has said the process needs to be transparent so that the public can participate in order to explore all questions the FCC didn't get to in 2003. Since the FCC will be exploring all rules, Copps said the process is taking longer to work out than previously believed.

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The commissioners were unable to agree on the number of public hearings and ownership studies needed, or the time period when the public could register comments.

"It sounds as if they haven't gotten an agreement on what the process (of how to arrive at the reforms)," said Brian Wieser, vice president and director of industry analysis for Magna Global, which issued a report this month suggesting that any relaxation in the rules would have both positive and negative repercussions for the media advertising industry. "I think the people knew that there was conflict among the commissioners as there was time, and at a minimum there appears to be ideological difference on the outcome."

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