• President posts opposition to lifting 39% television ownership limit
• Comments align with Newsmax CEO Chris Ruddy's recent warnings
• Broadcaster stocks decline following Sunday Truth Social statement

WASHINGTON, DC (TDR) — Donald Trump posted on Truth Social Sunday expressing opposition to potential changes to the Federal Communications Commission's broadcast ownership cap, placing him at odds with his own appointed FCC Chairman Brendan Carr on the issue.

The current regulation, first established in 1941 and set at 39% by Congress in 2004, prohibits any single entity from owning television stations that collectively reach more than 39% of U.S. households. Carr has expressed willingness to modify or eliminate the cap to help local broadcasters compete with streaming platforms and technology companies.

Newsmax CEO's influence

Trump's post linked to coverage of Newsmax CEO Christopher Ruddy's opposition to lifting the cap. Ruddy, a longtime Trump ally, argued last week that eliminating the restriction would benefit major broadcast networks at conservatives' expense.

"Reagan understood if you have left-wing networks like ABC, NBC and CBS – or groups like Nexstar today controlling every local station and their local news – Republicans would have little chance to win in state and federal elections."

Trump echoed similar concerns in his statement, specifically citing ABC and NBC as networks he opposes seeing expand.

Industry implications

The comments create uncertainty for pending broadcast industry consolidation. Nexstar Media Group filed applications last week seeking FCC approval for its $6.2 billion acquisition of Tegna, which would create an entity reaching approximately 80% of U.S. television households.

Shares of major broadcast companies declined in Monday trading following Trump's statement. Nexstar fell 3.4%, while Sinclair Broadcast Group dropped 3.29%. Tegna shares declined nearly 5%.

Competing perspectives

The National Association of Broadcasters supports eliminating the cap, arguing current rules prevent local stations from achieving the scale necessary to compete with technology companies like Google, Amazon, and Netflix, none of which face similar restrictions.

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FCC Democratic Commissioner Anna Gomez has stated she believes only Congress holds authority to modify the statutory 39% cap, suggesting any FCC action could face legal challenges.

Nexstar responded Monday by attempting to align with Trump's broader concerns while maintaining support for regulatory reform.

"We agree with President Trump that the status quo is no longer acceptable, nor should the government do anything to strengthen the stranglehold of legacy media and Big Tech on the marketplace of ideas."

Industry observers noted the cap affects local station ownership rather than national network reach, as networks like ABC and NBC already reach virtually all U.S. television households through affiliate agreements.

How should federal regulators balance media consolidation concerns with broadcasters' competitive challenges?

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