Commissioner Michael Copps raises a flag about private equity ownership of media.
Dow Jones reports that Copps said a worsening economy might lead to private-equity companies breaking up or shutting down media companies they have acquired.
Copps, the news service noted, has cautioned against publicly traded media companies being taken private and wants the FCC to investigate the trend.
“Increasingly, he has argued, the ownership structure of these companies is becoming unclear, which would leave the FCC unable to take action against the owners of regulated companies in the event that something goes wrong,” Dow Jones reported. “Thursday, he repeated these concerns, saying that, in the face of deteriorating economic conditions, the role of private equity in owning media assets must be closely examined and monitored.”
