The Nab Switches Gears

Cable World,  July 14, 2003  

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Byline: Alicia Mundy

Facing a schism among its members, the National Association of Broadcasters has decided not to fight raising the network ownership cap from 35% to 45%. The FCC voted to lift the cap on June 2, with support of the major networks.

Many at NAB felt the group would lose other issues if it continued to fight the cap rise. NAB is opposing parts of a new bill that would bring back the ban on newspaper cross-ownership, restrict duopolies and lead to radio reregulation, but it also opposed raising the cap. This came across as hypocritical to members of Congress, the FCC and the networks, who'd announced they would start their own lobby, the Local Broadcasting Alliance - a definite threat to the NAB.

NAB members hope that by joining the networks and opposing the whole bill NAB would heal its internal rift and undo perceptions that it has lost its clout. NAB president Eddie Fritts was on the Hill last week explaining NAB's "new, improved" position. It could impact a vote in the House Appropriations Committee this week, which may include an amendment rolling back the FCC's new rules.

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