In a move that has sparked both intrigue and controversy, former President Donald Trump has thrown his weight behind the proposed merger between Nexstar Media and Tegna, two major players in the local television landscape. But here's where it gets controversial: Trump's endorsement comes with a bold claim that this merger is essential to counter what he calls 'THE ENEMY'—the dominant national TV networks, which he accuses of spreading 'Fake News.'**
Trump's statement, posted on Truth Social, reads, 'We need more competition against the Fake News National TV Networks. GET THAT DEAL DONE!' This endorsement marks a significant shift in his stance, especially when compared to his November remarks, where he criticized proposals to lift the cap on local TV station ownership—a necessary step for the Nexstar-Tegna merger to proceed. So, what changed?
And this is the part most people miss: Trump now argues that specific mergers, like Nexstar-Tegna, could actually reduce the influence of the largest TV networks by introducing more competition. 'Letting Good Deals get done like Nexstar - Tegna will help knock out the Fake News because there will be more competition, and at a higher and more sophisticated level,' he explained. But not everyone agrees.
The proposed $3.54 billion acquisition would create the largest U.S. regional TV station operator, giving the combined entity greater leverage with advertisers and pay-TV distributors. This comes at a time when local media is struggling with declining revenues and subscriber losses due to the rise of streaming services. Nexstar, which already owns or partners with over 200 stations, including brands like The CW and NewsNation, would add Tegna's 64 stations and networks, such as True Crime Network and Quest, to its portfolio. Together, they would cover 80% of TV households in key markets.
However, the merger has faced pushback, particularly from conservative news outlet Newsmax, which opposes the deal. 'The Nexstar deal means dangerous consolidation that will limit competition, harm conservative voices, and dramatically increase consumer cable bills,' Newsmax stated, urging Trump to reconsider. This raises a critical question: Is this merger a step toward greater competition, as Trump suggests, or does it pave the way for monopolistic control that could stifle diverse voices?
The Federal Communications Commission (FCC) has yet to decide on lifting the ownership cap, which currently prevents a single company from owning broadcast television stations reaching more than 39% of U.S. households. This issue will be under the microscope on Tuesday, when the U.S. Senate Committee on Commerce, Science, and Transportation holds a hearing on the FCC's media ownership rules. Committee Chair Senator Ted Cruz has framed the hearing as an opportunity to evaluate whether existing rules are outdated or need updating to foster competition and protect against corporate censorship of conservative viewpoints.
Tegna had initially hoped to close the deal by the second half of this year, but the outcome remains uncertain. As of Saturday, Nexstar, Tegna, the FCC, and Cruz's office had not responded to requests for comment. What do you think? Is Trump's endorsement of the Nexstar-Tegna merger a game-changer for media competition, or does it pose a threat to diversity and consumer interests? Share your thoughts in the comments below!
