Media consolidation when media becomes monologue

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Media consolidation: When media becomes a monologue

Increasing media consolidation has led to news coverage that some might see as conservative and monotone.

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Quantumrun Foresight
November 4, 2021

The media landscape has dramatically transformed, with mega-companies consolidating their power and acquiring a significant portion of local TV stations, publishing companies, online news sites, radio stations, and movie studios. This consolidation is further fueled by big tech firms redirecting users to these media platforms, raising concerns about their potential influence over elections, advocacy, and legislation. The consequences of this concentration include threats to press freedom, challenges in ensuring diverse journalism, job losses, limited local news coverage, and political biases.

Media consolidation context

The media landscape in the US has undergone a dramatic transformation over the past few decades. In 1983, the industry boasted at least 50 major players, according to the book The New Media Monopoly. As of 2023, it's hard to imagine a US media landscape that involves corporations outside of the Big Five: AT&T, Comcast, Disney, News Corp., and ViacomCBS. These five mega-companies have effectively consolidated their power by acquiring a staggering 37 percent of local TV stations, along with numerous publishing companies, online news sites, radio stations, and movie studios.

The concentration of media power is not limited to traditional players. Big tech firms such as Google and Facebook have also contributed to the expansion of this control. These tech giants redirect a significant 70 percent of users to the platforms owned by the media conglomerates. This level of concentration raises concerns about the potential influence wielded by these corporations, as they can easily dictate which election candidate to support, which advocacy to push forward, and even which legislation to lobby.

The concentration of media power has far-reaching consequences for society, businesses, and industries. First and foremost, it poses a threat to press freedom and the democratic principles of a well-informed citizenry. When a handful of entities control the majority of media outlets, it becomes challenging to ensure diverse and independent journalism. Furthermore, this consolidation has implications for job opportunities, as mergers often result in redundancies and layoffs.

Disruptive impact

A study conducted by researchers at Stanford University revealed that local TV stations acquired by large media corporations tend to prioritize national news, as it can easily be sourced from one place and reproduced across multiple channels. This trend has implications for the availability of local news coverage, as these platforms may allocate fewer resources to reporting on community-specific issues. Furthermore, the study found that local TV stations have exhibited a political lean towards the right, irrespective of potential viewership losses. The homogeneity of messaging, slant, and tone across these platforms raises concerns about balanced reporting and the presentation of diverse perspectives.

As the Federal Communications Commission (FCC) supports its decision to deregulate US media companies, some have called for its intervention to prevent these corporations from owning local TV stations, radio stations, and publishing companies in the same area simultaneously. While the regulatory landscape remains unchanged for now, the implications for individuals, companies, and governments are significant. Individuals must be vigilant about seeking diverse sources of information and critically analyzing news presented by these conglomerates.

Companies need to be aware of the potential impact of media bias on their reputations and consider alternative strategies for reaching their target audiences. Governments may need to explore alternative methods of ensuring fair and balanced reporting, such as supporting independent local news outlets or promoting transparency in media ownership. They can also consider reevaluating regulatory frameworks to safeguard media plurality and ensure that local communities have access to diverse and unbiased news sources.

Implications of media consolidation

Wider implications of media consolidation may include:

Independent media finding it more difficult to be heard or seen over more widespread and mainstream platforms.
Journalists becoming more influenced by media moguls or personalities who have ulterior motives.
Consumers having less availability of news options and exposure to differing opinions.
Politicians being incentivized to pass legislation that is popular among their constituents—the same constituents who may become increasingly biased by the preferred views of major media networks.
Homogenized messaging and biased reporting eroding public trust in media, leading to skepticism and disengagement from news consumption.
The concentration of media power perpetiating the underrepresentation of certain communities, worsening existing inequalities and limited media representation.
Independent journalism and investigative reporting being undermined as consolidation prioritizes profitability over in-depth reporting and investigative resources.