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Radio Groups Push FCC to Lift Ownership Caps


Federal Communications Commission (FCC)
Federal Communications Commission (FCC)

Connoisseur Media and Beasley Media Group are urging the Federal Communications Commission to eliminate or significantly relax local radio ownership limits, arguing that rules adopted nearly 30 years ago no longer reflect today's competitive media landscape and are putting the radio industry at a growing disadvantage.

The filings, submitted as ex parte communications in the FCC's ongoing 2022 Quadrennial Review of broadcast ownership rules, contend that radio stations now compete not only with one another, but also with streaming services, podcasts, satellite radio, social media platforms and digital advertising companies that operate without comparable ownership restrictions.

Connoisseur Media met with FCC Media Bureau officials on July 15, while Beasley Media Group executives, led by CEO Caroline Beasley, held separate meetings with Commissioners Olivia Trusty on July 16 and Anna M. Gomez on July 20. In each meeting, the companies urged the Commission to repeal or substantially revise the local radio ownership rules.

Connoisseur's presentation argues that the ownership caps have remained unchanged since 1996 despite dramatic changes in the audio and advertising marketplace. The company points to the emergence of digital competitors such as Spotify, Apple Music, SiriusXM and podcasting, along with the dominance of Google, Meta, Amazon and other technology companies in local advertising. According to the filing, digital media now accounts for more than 70% of local advertising while radio's share has steadily declined.

The presentation also cites declining industry economics, noting local radio advertising revenue has fallen 43% since 2013, station transaction values have dropped sharply, and hundreds of AM and commercial FM stations have exited the market since 2019.

Both broadcasters argue that allowing greater ownership concentration would provide the scale needed to compete with digital companies, strengthen local service, improve advertising efficiencies and enable operators to acquire struggling stations that currently provide little local programming. Connoisseur also contends that simply relaxing the current ownership subcaps would not go far enough, urging the FCC to eliminate the local radio ownership rule entirely.

Beasley echoed many of the same arguments in its filings, telling commissioners that the current ownership restrictions impair broadcasters' ability to achieve necessary scale, compete effectively for audiences and advertising revenue, and continue providing local programming and emergency information. The company urged the FCC to repeal or substantially revise the ownership rules to reflect today's competitive realities.

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