The FCC late Thursday announced that, at long last, it has approved Skydance’s $8 billion acquisition of Paramount Global and its subsidiaries, including the ultimate parent company of the CBS network of owned and operated broadcast television stations, by granting a series of applications that transfer FCC licenses and authorizations.
This resulted in a furious response from the Ranking Member of the House Energy & Commerce Committee, and a particularly biting dissent from the lone Democratic vote-maker at the FCC.
CARR PRAISES ‘COMMITMENT TO MAKE SIGNIFICANT CHANGES’
The FCC’s approval of the Skydance-Paramount Global deal, valued at some $8 billion, was rumored to arrive on Friday. Instead, announcements were distributed at 5:50pm Eastern on Thursday, likely to the benefit of media organizations.
For FCC Chairman Brendan Carr, the 2-1 Republican-led decision to OK the deal is welcome news for Americans — even as Democrats are largely disapproving the deal.
“Americans no longer trust the legacy national news media to report fully, accurately, and fairly,” Carr said in a lengthy statement. “It is time for a change. That is why I welcome Skydance’s commitment to make significant changes at the once storied CBS broadcast network. In particular, Skydance has made written commitments to ensure that the new company’s programming embodies a diversity of viewpoints from across the political and ideological spectrum.”
This is where Democrats and those who oppose the Trump Administration are most incensed.
Carr continued, “Skydance will also adopt measures that can root out the bias that has undermined trust in the national news media. These commitments, if implemented, would enable CBS to operate in the public interest and focus on fair, unbiased, and fact-based coverage. Doing so would begin the process of earning back Americans’ trust.”
The Chairman of the FCC also said the agency’s 2-1 decision “also marks another step forward in the FCC’s efforts to eliminate invidious forms of DEI discrimination. And Skydance’s commitment to enhancing local news and reporting—coverage valued by the public—will also inure to the benefit of the American people.”
A ‘COMMITMENT TO UNBIASED JOURNALISM’
Outlining three key actions that sealed the deal for Carr and fellow Republican Olivia Trusty, the FCC Chairman said Skydance has made written commitments “to ensuring that the new company’s array of news and entertainment programming will embody a diversity of viewpoints across the political and ideological spectrum and that CBS’s reporting will be fair, unbiased, and fact-based.”
At present, CBS has stood by its reporting as already being described as such. Nevertheless, under new ownership this will be reinforced in a new way. “To promote transparency and increased accountability, Skydance commits, for a period of at least two years, to have in place an ombudsman who will report to the President of ‘New Paramount’ and evaluate complaints of bias,” Carr said.
Furthermore, Skydance, which has no DEI programs in place today, “has committed that it will not establish any such initiatives at the new company and confirms that ‘New Paramount’ will also be committed to equal opportunity employment and nondiscrimination.”
For Carr, “This will ensure that the combined business will enact policies and practices consistent with the law and the public interest.”
The Chairman concluded his comments by claiming the FCC’s approval of the merger “will unleash the investment of $1.5 billion into Paramount, bolstering all aspects of its operations, including broadcast.” Carr also noted that Skydance “also reaffirms its commitment to localism as a core component of the public interest standard, and emphasizes that it will work closely with its affiliated broadcast stations to ensure a productive partnership that will strengthen its affiliates’ ability to serve their local communities.”
A STRONG DISSENT FROM ANNA GOMEZ
The lone Democrat on the FCC lambasted a 2-1 party line vote she called a “deal that was linked to a payout to settle a baseless lawsuit and other troubling concessions.”
In a statement also released after hours, Anna M. Gómez said, “After months of cowardly capitulation to this Administration, Paramount finally got what it wanted. Unfortunately, it is the American public who will ultimately pay the price for its actions.”
She continued, “In an unprecedented move, this once-independent FCC used its vast power to pressure Paramount to broker a private legal settlement and further erode press freedom. Once again, this agency is undermining legitimate efforts to combat discrimination and expand opportunity by overstepping its authority and intervening in employment matters reserved for other government entities with proper jurisdiction on these issues. Even more alarming, it is now imposing never-before-seen controls over newsroom decisions and editorial judgment, in direct violation of the First Amendment and the law.
“After the FCC buried the outcome of backroom negotiations with other regulated entities, like Verizon and T-Mobile, I urged for us to bring the Paramount proceeding into the light. I’ve long believed the public has a right to know how Paramount’s capitulation evidences an erosion of our First Amendment protections, and I’m pleased that FCC leadership ultimately agreed to my call for every Commissioner to vote on this transaction. Granting approval behind closed doors, under the cover of bureaucratic process, would have been an inappropriate way to shield this Administration’s coordinated campaign to censor speech, control narratives, and silence dissent.
“Despite this regrettable outcome, this Administration is not done with its assault on the First Amendment. In fact, it may only be beginning. The Paramount payout and this reckless approval have emboldened those who believe the government can—and should—abuse its power to extract financial and ideological concessions, demand favored treatment, and secure positive media coverage. It is a dark chapter in a long and growing record of abuse that threatens press freedom in this country. But such violations endure only when institutions choose capitulation over courage. It is time for companies, journalists, and citizens alike to stand up and speak out, because unchecked and unquestioned power has no rightful place in America.
“For all these reasons, I dissent.”
A TRUSTY ALIGNMENT WITH CARR
Olivia Trusty – to little surprise — voiced her support of the transaction’s OK.
“I support today’s approval of the Paramount Global and Skydance Media merger,” she said. “This transaction reflects the free market at work, where private investment, not government intervention, is preserving an iconic American media institution.”
Trusty continued that, in its review of the transaction, the Commission determined the merger was lawful and would serve the public interest. “This deal brings fresh leadership, new capital, and a clear plan to compete with dominant tech platforms,” she said. “Skydance’s commitment to creative excellence and operational discipline offers New Paramount a real path forward in today’s challenging media environment. This is a win for American jobs, American storytelling, and the principle that markets, not Washington, should decide the future of our industries. I want to thank Chairman Carr for his leadership in bringing the merger to a full Commission vote. His commitment to transparency and process has ensured that this matter received the thorough consideration it deserves.”
