Trump Backs Nexstar-Tegna Merger: Impact on Media Competition & FCC Review

President Trump has publicly endorsed the proposed merger between Nexstar Media, a local television station operator, and Tegna, a smaller competitor. In a social media post, the President stated, “We need more competition against THE ENEMY, the Fake News of the national television networks,” and urged, “GET THIS DEAL DONE!”

The Proposed Merger

Nexstar announced plans last year to acquire Tegna for $3.54 billion. The combination would create the largest operator of regional television stations in the United States.

A Shift in Tone

This expression of support represents a change in President Trump’s stance. Previously, in November, he criticized a proposal to lift the ownership cap for local television stations – a prerequisite for Nexstar’s acquisition of Tegna. He now suggests that certain mergers, like that of Nexstar and Tegna, could diminish the influence of larger television networks.

Did You Know? The proposed merger requires a decision from the Federal Communications Commission (FCC) regarding the ownership cap, which currently prevents a company from owning stations reaching more than 39 percent of US television households.

The FCC has not yet ruled on lifting the ownership cap.

Opposition to the Deal

Newsmax, a conservative news outlet opposing the merger, issued a statement urging President Trump to reconsider his support. Newsmax argues the Nexstar acquisition represents a dangerous consolidation that would limit competition, harm conservative voices, and significantly increase cable bills for consumers.

Expert Insight: The President’s intervention highlights the complex interplay between media consolidation, political messaging, and regulatory oversight. While the stated goal is increased competition, the potential consequences – as outlined by Newsmax – underscore the trade-offs inherent in such large-scale mergers.

The ownership rules governing local television stations are scheduled to be discussed at a hearing in the US Senate Commerce Committee on Tuesday.

Frequently Asked Questions

What is the value of the proposed Nexstar-Tegna merger?

Nexstar announced plans to acquire Tegna for $3.54 billion last year.

What is the current ownership cap for local television stations?

The current rule prevents a company from owning television stations that reach more than 39 percent of US television households.

Who opposes the merger and why?

Newsmax opposes the merger, stating it would limit competition, harm conservative voices, and increase consumer costs.

How might the outcome of the Senate Commerce Committee hearing influence the future of this merger?