The Federal Communications Commission has approved a transfer of TV licenses directly owned by media giant Rupert Murdoch to one of his subsidiary firms, and will continue waivers allowing Murdoch to own The New York Post and two TV stations, both of which broadcast to Post markets.
Murdoch filed a license application with the FCC to transfer control of his Fox Television Stations to the Fox Entertainment Group, a subsidiary of his News Corp. According to the FCC, Murdoch's application argued that the purpose of the transaction is to "reduce corporate complexity, yield operational efficiencies and financial savings and free capital to ultimately sustain and improve levels of service its provides the public."
But the deal also requires the FCC to re-approve two waivers of the Commission's media ownership rules already in effect for these properties—rules prohibiting the ownership of newspapers and TV stations in the same markets.
These limits affect Murdoch properties WNYW-TV in New York City, WWOR-TV in Secaucus, New Jersey, and The New York Post, sold in both cities. The agency's decision, made on August 15th and released today, extends a permanent waiver to The Post and WNYW, and a temporary waiver to the same newspaper and WWOR.
The FCC's Memorandum Opinion and Order contends that the competitive nature of the Greater New York newspaper market and economic necessity justify the waivers. The Post reaches about 7.3 percent of the region's households in what the FCC describes as a competitive market dominated by five newspapers, including The New York Daily News and The New York Times.
"The record indicates that the conditions justifying the original waiver, the financial vulnerability of The New York Post and the unique diversity of the New York market, still exist," concludes the Order. The ruling extends a two year waiver to WWOR and The Post.
Today's decision also permits Murdoch to continue run one Colorado TV station as a satellite of another, waivering the Local TV Multiple Ownership rule.
The FCC's five commissioners appear to have voted along party lines on this matter, with Democrats Michael Copps and Jonathan Adelstein dissenting. FCC Chair Kevin Martin and Commissioner Robert M. McDowell say they will issue a statement at a later date, as do Adelstein and Copps.
[1] 
[2] 
[3] 
[4] 
[5] 
[6] 
[7] 
[8] 
[9] 
[10]