2 local TV giants merged. Then a court stepped in
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The Bottom Line
A $6.2 billion media merger faces federal antitrust lawsuit despite agency approvals, raising market concentration concerns.
How This Affects You
This merger's challenge could prevent further consolidation of local television, potentially preserving diverse local news sources.
AI Summary
Local TV giant Nexstar's $6.2 billion acquisition of rival Tegna, announced in August and approved in March, faces an antitrust lawsuit in federal court in California despite being green-lit by the Federal Communications Commission and Justice Department. Federal Communications Commissioner Brendan Carr posted a photo with Acting U.S. Assistant Attorney General for the Antitrust Division Omeed Assefi three days after the agencies approved the deal. The deal would give Nexstar control of 265 local stations in 44 states and the District of Columbia, reaching 80% of the nation's households, exceeding federal competition law limits from 2004. Nexstar had made moves appealing to the Trump administration, including pulling Jimmy Kimmel's show from its ABC affiliates and hiring pro-Trump commentator Katie Pavlich. President Trump had indicated ambivalence about the combination after lobbying from Newsmax founder and CEO Christopher Ruddy.
What's Being Done
Federal court in California is hearing an antitrust lawsuit against the merger.
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