Sunday, February 2, 2025

Public Profiteering

It's time for PBS to go private:
Many of us have argued that NPR should compete with other radio companies in the free market. Notably, some Democratic leaders have pushed to get Fox News dropped from cable news carriers despite the fact that it is not government subsidized and consistently ranks as the most-watched cable news network. (For full disclosure, I am a legal analyst at Fox.) NPR and PBS are facing calls for the subsidy to be removed at long last. However, at the same time, pressure is coming from the Federal Communications Commission. FCC Chair Brendan Carr is inquiring about NPR's claim that it does not do commercial advertising. Many of us have noticed that NPR has ramped up its sponsor statements with taglines about the products or firm's clientele. Carr wrote, "I am concerned that NPR and PBS broadcasts could be violating federal law by airing commercials. In particular, it is possible that NPR and PBS member stations are broadcasting underwriting announcements that cross the line into prohibited commercial advertisements." The support for noncommercial radio and television stations fell under different regulations. It is hard to see the sponsor acknowledgments as anything other than commercial advertising. It is common for for-profit outlets to have hosts read commercial sponsors. Noncommercial educational broadcast stations, or NCEs, are prohibited under Section 399B of the Communications Act from airing commercials or other promotional announcements on behalf of for-profit entities.
The free ride needs to end...

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