The Federal Communications Commission has approved Nexstar’s $3.54 billion acquisition of Tegna, clearing a major regulatory hurdle for a transaction that will significantly expand Nexstar’s reach in local television. The approval came over objections from Democratic-led states and included a waiver of the FCC’s 39% national audience cap, allowing the combined company to extend its reach to roughly 80% of U.S. TV households. FCC Chair Brendan Carr said the decision reflects current market realities, while opponents argued the deal would concentrate too much broadcast power in one company.
The transaction still faces legal resistance. A coalition of eight states filed suit to block the merger, and DirecTV has brought a separate challenge, even as Nexstar maintains that the combination is necessary to preserve strong local journalism. Nexstar, which already controls more than 200 stations across 116 markets, has agreed to divest six stations within two years. The approval also arrives amid a broader dispute over the role of large station groups, local affiliates, and editorial independence, with critics warning that further consolidation could reduce independent local voices even as supporters argue it strengthens affiliates’ leverage against national networks.
