Trump Suggests FCC Could Revoke Broadcast Licenses over Coverage

President Trump suggests the FCC should review licenses of broadcasters for "bad publicity," as FCC Chair Carr references industry scrutiny.

In a move that has ignited immediate debate about media regulation and First Amendment rights, President Donald Trump suggested that the Federal Communications Commission (FCC) should consider reviewing the licenses of television broadcast networks that, in his view, provide excessive and unfair "bad publicity." The comments from the sitting president place unprecedented attention on the FCC's regulatory role concerning broadcast content. FCC Chair Brendan Carr, who was appointed by President Trump, added to the conversation by telling Fox News that ABC's recent decision to suspend Jimmy Kimmel's show indefinitely might not be "the last shoe to drop," hinting at a broader period of scrutiny for the broadcasting industry.

From a legal and technical standpoint, the president's suggestion runs into a significant hurdle: the Communications Act of 1934. Specifically, Section 326 explicitly prohibits the FCC from censoring broadcast material or interfering with free speech. Revoking a broadcast license is an arduous process that is historically based on technical violations like failing to properly maintain transmission equipment or proven breaches of public trust, such as fraud committed during the license application process. It is not based on subjective content or the tone of a network's coverage. Chair Carr's comments, while notable, were carefully framed around general industry accountability rather than endorsing any specific action against critics.

For media startups and founders, this environment creates a landscape of both risk and opportunity. While major broadcast networks face political and regulatory uncertainty, it may accelerate the shift of audiences and advertisers toward digital streaming platforms and independent content creators who operate under different legal frameworks. As the founder of a free-speech oriented video platform noted, "This kind of talk from the administration underscores the value of building distribution models that are less vulnerable to centralized regulatory pressure." For investors, it highlights the potential in technologies that enable decentralized content distribution, robust content moderation tools that ensure platform compliance, and analytic services that help networks navigate public and regulatory sentiment. The situation underscores that regulatory risk is a paramount factor for any business operating in the modern media ecosystem.