The FCC is looking into relaxing rules that limit the number of newspapers and broadcasters a single company can own in a single market. Appearing on ‘Closing Bell,’ Jeff Macke said the talk of deregulating the media industry is simply the federal government acknowledging the trend as more channels and platforms for media content are available to consumers.
If the FCC does decide to ease its regulation of the industry, it could help Sam Zell close the Tribune (TRB) deal, sending the stock higher, Macke said. He also thinks the besieged XM Satellite (XMSR)/Sirius (SIRI) merger could stand to benefit.
The FCC knows it “can’t regulate the public taste” anymore, Macke said. It’s only a matter of time until it eases its rules governing media control.