Nexstar-Tegna Merger Faces Legal Fire From NY AG James

NEW YORK – New York Attorney General Letitia James today launched a legal assault against Nexstar Media Group and Tegna, Inc., filing a lawsuit to halt their proposed merger. The AG, leading a coalition of seven other attorneys general, alleges the deal would strangle competition in local television markets, ultimately squeezing cable customers and decimating the quality of local news. The lawsuit demands a court order declaring the merger illegal and preventing its completion.

“Competition among local TV stations allows consumers to enjoy a variety of affordable options for quality coverage of news, sports, and more,” Attorney General James stated bluntly. “This illegal merger threatens local news and could raise fees for consumers by combining hundreds of TV stations under the same owner. I’m suing to stop Nexstar’s illegal merger with Tegna to keep cable bills down and ensure New Yorkers can access the independent local news options they count on.”

Nexstar, already the nation’s behemoth in local television broadcasting, controls over 200 stations reaching a staggering 220 million people across 116 U.S. markets. Tegna adds another 64 stations in 51 markets to the mix. The AG’s office argues that combining these forces would create a monopoly in 31 media markets, including Buffalo, New York, effectively silencing competing voices and giving Nexstar unchecked power. These stations primarily broadcast affiliates of the “Big Four” networks – ABC, CBS, NBC, and FOX – vital sources of local information.

The core of the complaint centers on retransmission fees. Cable providers like Comcast, DirecTV, DISH, and Charter currently pay local broadcast stations for the right to carry their signals. The lawsuit alleges that post-merger, Nexstar would be able to dictate exorbitant fees, which would inevitably be passed down to subscribers. Refusal to pay could result in blackouts, leaving viewers without access to essential news and programming. This isn’t just about money; it’s about control over information.

Beyond financial concerns, the lawsuit points to Nexstar’s history of gutting local newsrooms. A recent study flagged Nexstar as a notorious practitioner of “news duplication” – airing the same content across multiple stations – and consolidating news operations whenever it acquires multiple outlets in a single market. This practice, the AG contends, erodes independent journalism and diminishes the diversity of news coverage, a dangerous trend at a time when local news is already struggling. The merger, if allowed to proceed, would accelerate this decline.

Attorney General James and the coalition allege the proposed merger violates the federal Clayton Act by unlawfully limiting competition. The legal battle promises to be fierce, with the future of local news and the wallets of millions of cable subscribers hanging in the balance. This case isn’t just about two companies; it’s about preserving a vital public service and preventing a media monopoly from taking root.