A coalition of small and mid-sized broadcast groups has filed new arguments with the FCC, claiming that “Big Tech” poses an existential threat to localism that current ownership caps ignore. In filings submitted this week as part of the Commission’s Quadrennial Review, companies including Cromwell Media and Legend Communications argued that the “local radio ownership rule” is obsolete because it fails to account for unregulated digital competitors. The broadcasters presented data showing that major advertising categories, particularly automotive and recruitment, have shifted significant budgets from local radio to platforms like Google, Meta, and Spotify.
The filings specifically challenged the notion that radio operates in a protected market silo. One group noted that a major wireless carrier recently moved its entire $100,000 local ad budget from their stations to digital competitors, illustrating the direct revenue loss caused by the uneven regulatory playing field. The broadcasters argued that without the ability to achieve greater scale through consolidation, local stations cannot afford the journalism and community service that distinguishes them from algorithms. They urged the FCC to look beyond traditional ratings and recognize that tech platforms have become the primary gatekeepers for local audiences and revenue.