The Federal Communications Commission has made a significant request for unedited material from CBS-parent Paramount Global as it reviews the company's planned merger with Skydance Media.
The New York Post reported that part of the FCC's investigation is focused on an interview with former Vice President Kamala Harris that aired on "60 Minutes," which is also tied to a $10 billion lawsuit by Donald Trump alleging deceptive editing.
The FCC's request for the "60 Minutes" materials is linked to its assessment of the proposed $8 billion merger between Paramount and Skydance Media. Paramount Global owns CBS, and the outcomes of this review could potentially influence the transfer of CBS's broadcast licenses.
FCC Chairman Brendan Carr, who was appointed during Trump’s presidency, is particularly attentive to accusations of media bias as he scrutinizes this merger.
Brendan Carr has expressed interest in reviewing the full, unedited footage and transcripts from the interview with Kamala Harris, which was broadcast on October 7, 2024. He is reportedly concerned about claims of media bias that might impact the fairness of the merger review.
Additionally, a lawsuit alleging news distortion filed by the Center for American Rights against CBS is among the elements under Carr’s considerations.
Complicating matters further, Donald Trump's lawsuit against CBS accuses the network of altering the "60 Minutes" interview in a manner that favored Harris.
In response, CBS has maintained that the version aired was simply more concise than a similar segment featured on another program, "Face the Nation." The network has defended itself vigorously against Trump’s accusations, labeling them as without merit.
Legal experts have largely dismissed Trump’s lawsuit as unwarranted. However, reports suggest that Paramount is currently in discussions to settle the matter, mirroring settlements reached by companies such as Disney and Meta with Trump over unrelated legal claims, including misinformation and account restrictions.
Staffers at CBS, however, have expressed unease regarding a potential settlement. The fear is that reaching an agreement might set a troubling precedent that could endanger journalistic independence. Such concerns underscore the broader implications of media-related lawsuits in the industry.
Shari Redstone, who owns Paramount through National Amusements, is keen to resolve these legal hurdles as she looks to push forward with the merger approval process.
It has been reported that Redstone is contemplating selling her interest in National Amusements to Skydance for about $1.75 billion as part of this restructuring effort.
The resolution of these issues might play a crucial role in whether the merger will successfully proceed. Additionally, the outcome of the FCC’s inquiry and any settlement with Trump could significantly affect how Paramount and CBS operate going forward.
As CBS prepares to comply with the FCC's demand for materials, a clear outcome remains to be seen. Brendan Carr’s focus on media bias could sway the final decision regarding the merger.
The FCC's examination is watched closely by stakeholders given its potential implications for the future of broadcast licensing.
Should the Commission find irregularities, significant changes might be necessary for the merger to proceed without hindrances. Furthermore, any conclusion drawn might influence how similar cases are approached in the future.
The ongoing situation encapsulates broader concerns about media practices and biases, particularly in high-stakes political contexts.
The FCC's role will thus play a part in shaping how media accountability and corporate mergers entwine in the current media landscape.
The actions taken by both Paramount and the FCC in the coming weeks will be instrumental in determining the trajectory of this merger. Ultimately, their decisions could have enduring effects on media ownership and editorial practices across the industry.
