Washington, United States. U.S. President Donald Trump on Saturday publicly backed a proposed merger between local television station operator Nexstar Media and rival Tegna. Newsmax opposed the deal and urged Trump to reconsider his support.
Trump’s social media support
Trump wrote in a post on Truth Social that he wanted the merger completed, saying, “We need more competition against THE ENEMY, the Fake News National TV Networks,” and “GET THAT DEAL DONE!”
Details of the proposed acquisition
Nexstar last year proposed a $3.54 billion acquisition of Tegna that would make the combined entity the largest U.S. regional TV station operator, with more leverage with advertisers and pay-TV distributors. Local media has been grappling with falling revenue and subscriber losses tied to the popularity of streaming services.
Shift from Trump’s November position
Trump’s Saturday post appeared to differ from his comments in November, when he criticized a proposal to lift the cap on local television station ownership, a change needed for Nexstar to acquire Tegna. In November, he said he would “not be happy” if lifting the cap allowed Comcast-owned NBC or Walt Disney-owned ABC to expand.
On Saturday, Trump suggested that certain mergers, including Nexstar-Tegna, could reduce the influence of the largest TV networks. He wrote that allowing “Good Deals” such as Nexstar-Tegna would increase competition “at a higher and more sophisticated level.”
Companies’ footprints and claimed reach
Nexstar owns or partners with more than 200 stations and operates brands including The CW and NewsNation. Tegna runs 64 stations and networks, including True Crime Network and Quest. The companies have said a combination would cover 80% of TV households across key markets.
Newsmax opposition
Newsmax said in a statement on Saturday that Trump should not support the acquisition. It said Trump was right in November when he called for smaller networks and for keeping TV ownership caps to limit broadcast consolidation.
Newsmax said the Nexstar deal would mean consolidation that it said would limit competition, harm conservative voices and increase consumer cable bills, adding that it hoped Trump would reconsider his position.
What do you think the Nexstar-Tegna merger would mean for competition in local television broadcasting?