FCC Panel Votes on Party Lines
CAROL COSTELLO, CNN ANCHOR: As expected, the FCC has voted to make sweeping changes in the rules on who owns the nation's broadcasting stations and newspapers. One congressman says it's going to create an orgy of mergers, leading many to fear news content will be controlled by too few people. CNN's Greg Clarkin has more for you.</s>UNIDENTIFIED PROTESTERS: Mass regulation of the mass communications.</s>GREG CLARKIN, CNN CORRESPONDENT (voice-over): Amid shouts of protest, the FCC swept away a generation of rules on who can own the nation's newspapers, radio and TV stations. The Commission voted along party lines. Three Republicans, including Chairman Michael Powell, in favor of tossing out the old rules. The FCC's two Democrats opposed the move. Powell said the rules were outdated and if the FCC didn't change them, the courts would.</s>MICHAEL POWELL, FCC CHAIRMAN: Keeping the rules exactly as they are, as some so stridently suggest, was not a viable option. Without today's surgery, the rules would assuredly meet a swift death.</s>CLARKIN: The new rules let a broadcaster own TV stations reaching 45 percent of the nation's viewers, up from 35 percent. And a single company can now own both a TV station and a newspaper in the same market. Another change lets a company own as many as three TV stations in the nation's largest markets and two in many others. Commissioner Michael Copps voted against the changes. He says a lesson should have been learned from the upheaval created by radio deregulation.</s>MICHAEL COPPS, FCC COMMISSIONER: This experience ought to try us as we consider visiting upon television and newspapers what we have inflicted upon radio. Clear Channelization of the rest of the American media will harm our country.</s>CLARKIN: Copps is referring to the radio giant Clear Channel, which snapped up local radio stations at a fever pitch after deregulation, growing from less than 100 stations to more than 1,200. Opponents fear that's exactly what will happen with TV, with local stations being snapped up by corporate giants, eliminating diverse views and stifling competition, and they vow to fight the new rules in court. (on camera): And this is a battle that's expected to wind up on Capitol Hill, as well. Senator John McCain has a hearing scheduled Wednesday. All five FCC commissioners are due to testify. And a bipartisan group of senators believes they may have the political muscle to reverse the rule on TV station ownership. Greg Clarkin, CNN Financial News, Washington.