1970s FCC rules forced network syndication divestment, enabling independent deals.
Evidence
In 1970, the FCC adopted the Prime Time Access Rule, which was implemented during the 1971–1972 television season in order to increase the level of competition and diversity in programming. At the same time, the FCC adopted the Financial Interest and Syndication Rules, which prohibited broadcast network ownership of syndication arms. Consequently, existing syndication divisions had to be spun off as new, independent companies. As a result of this regime, Oprah had the choice either to sell rights to her show to the ABC network, which would then sell it into syndication and keep the profits, or to run her show as a “first-run” syndicate with King World Productions, an independent syndicator of television programming. — Tim Wu, The Attention Merchants, 1474
Categorization
- XREF: Connects to the history of regulation shaping attention markets — parallels to how structural rules channel where content profits flow. — connects to: FCC regulators once tried to force radio to serve the public interest — Tim Wu, The Attention Merchants, 377
- QUESTION: Worth chasing later: how the Fin-Syn rules’ repeal in the 1990s reshaped ownership and attention concentration.