by Barry Skidelsky, Esq.*
On January 30, 2026, the United States' Federal Communications Commission (FCC) released two separate Reports and Orders in connection with foreign ownership of U.S. radio and television stations.
FCC 26-3
One such Report and Order relates to the FCC's recently completed Review of Foreign Ownership for Broadcast Licensees, FCC 26-3 (https://docs.fcc.gov/public/attachments/FCC-26-3A1.pdf), and adopts formal rules to codify relevant policies and practices that the federal agency has developed over the last decade which have liberalized the federal government's approach to this topic.
Under Section 310 the U.S. Communications Act of 1934 as amended, no citizen or representative of a foreign country can own more than a 20% direct and a 25% indirect interest in a U.S. radio or television license. It was previously thought that these restrictions were absolute; and, that the FCC had no legal authority to waive those limits. That is no longer the case.
This new Report and Order has clarified and streamlined FCC foreign ownership rules and processes in connection with so-called Section 310(b) Petitions for Declaratory Ruling, which may be filed by citizens of other countries or entities having foreign ownership in excess of the indirect limits to seek approval to hold FCC regulated broadcast licenses.
Although the 20% direct ownership limit remains without change, the Declaratory Petition process has permitted foreign ownership of U.S. broadcast stations in excess of the 25% indirect ownership limit (and in some cases up to 100% indirect ownership). The term indirect ownership refers to the ownership of a U.S. entity (such as a corporation or limited liability company) that holds the actual FCC licensee.
In recent years the FCC has liberalized its previous restrictive view and granted several applications for the assignment or transfer of control of broadcast station licenses to foreigners, provided that they come from countries not considered foreign adversaries who pose a threat to U.S. national security interests (such as China, Russia, Iran, North Korea, Cuba, and the Maduro regime in Venezuela).
FCC 26-2
In the other Report and Order, FCC 26-2 (https://docs.fcc.gov/public/attachments/FCC-26-2A1.pdf), the FCC established a new "Foreign Adversary Control" (FAC) transparency regime, part of a broader effort by the federal government to prevent adversarial influence within the U.S. communications ecosystem writ large.
Under these new rules, virtually all broadcasters (among others) must disclose and attest or certify whether they are "owned by, controlled by, or subject to the jurisdiction or direction of" any of the foreign adversaries listed above.
The FCC now applies a 10% equity or voting interest threshold to define "ownership" by a foreign adversary for FAC purposes, a stricter standard than both the above-described foreign ownership rules limits and traditional media attribution rules.
FCC attribution rules are regulatory criteria used to identify when any person or entity (whether or not a U.S. citizen) holds sufficient ownership or influence over a broadcast station to count towards FCC media ownership limits. These rules determine "cognizable interests" (such as voting stock, board seats, or certain management agreements) that actually or potentially allow any person or entity to control or influence station programming or operations. The FCC looks at both "de jure" and "de facto" forms of control, meaning it will look beyond the form of a legal ownership structure to consider substantive realities.
If an entity certifies that it is subject to the new rules on Foreign Adversary Control, the Order requires that it disclose all equity and/or voting interest holders who directly or indirectly hold a 5% or greater interest (among other required information).
The Order also establishes ongoing reporting requirements and a new online portal or process for filing Foreign Adversary Control disclosures and attestations, as well as enforcement policies and procedures regarding non-compliance. Filing late, nonresponsive, incomplete, or inaccurate attestations or disclosures can result in enforcement action, including monetary fines and/or revocation of FCC licenses and other authorizations.
Following the deadline for initial attestations, the FCC now requires its regulatees to file a new attestation and additional disclosures as necessary. This includes inter alia circumstances where a broadcaster or other FCC regulatee becomes subject to Foreign Adversary Control, is no longer subject to Foreign Adversary Control, or applies for a new authorization. The timing of when a new report must be made is based upon the event. All disclosures and attestations will be made available to the public.
In addition, broadcasters that sell or effectively lease airtime to individuals or entities from these adversary countries must also comply with specific foreign sponsorship identification rules apart from the ordinary sponsorship ID rules of broader applicability.
Conclusion
Under the FCC's liberalized policies and rules, there is now a greater opportunity for foreigners to own and invest in U.S. radio and television stations, as well as to supply or obtain broadcast programming.
If any reader would like more information or other relevant assistance, please contact this article's author.
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* Barry Skidelsky is a New York based attorney, strategic consultant, arbitrator and mediator, with a diverse prominent practice focused on entertainment, media, telecommunications and technology (including matters before the FCC in Washington DC), who represents and/or provides counsel to a mix of domestic and international clients. Also a Berklee College of Music trained jazz pianist, Barry is a former radio broadcaster with substantial business experience in programming, sales, marketing and management.
His background also includes successes as a broadcast station broker, broadcast bankruptcy trustee (upon the nomination of a large financial services company he had consulted), and FCC Ownership Trustee (involving a legal structure by which various FCC station ownership and attribution rules may be avoided), who helped facilitate the launch of the first Spanish language FM radio station in New York. A frequent expert speaker and author, Barry is a collegial and personable professional with a good sense of humor who is fluent in Morse Code and Spanish. Contact Barry at bskidelsky@mindspring.com or 212-832-4800.