Concentration of media ownership

Concentration of media ownership (also known as media consolidation or media convergence) is a commonly used term among media critics, policy makers, and others to characterize ownership structure of mass media industries. These individual media industries are often referred to as a 'Media Institution'.

Related Topics:
Mass media - Media Institution

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Media ownership is said to be exemplified usually in one or more of the following ways.

Related Topics:
Media - Ownership

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First there is a state of oligopoly or monopoly in a given media industry. For example, movie production is known to be dominated by major studios since the early 20th Century. (Before that, there was a period in which Edison's Trust monopolized the industry). The music recording industry in the United States, similarly, is dominated by the major labels.

Related Topics:
Oligopoly - Monopoly

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Second, there may be some large-scale owners in a industry that are not the causes of monopoly or oligopoly. Clear Channel Communications, especially since the Telecommunications Act of 1996, acquired many radio stations across the United States, and came to own more than 1,200 stations. Radio broadcasting industry in the United States can be regarded oligopolistic regardless of the existence of such a player. Because radio stations are local in reach, each licensed a specific part of airwave by the FCC in a specific local area, any local market is served by a limited number of stations. This system of licensing makes many markets local oligopoly. The similar market structure exists for U.S. television broadcasting, cable systems, and newspaper industries, all of which are characterized by the existence of large-scale owners. Concentration of ownership is often found in these industries.

Related Topics:
Clear Channel Communications - Telecommunications Act of 1996 - Radio station - United States - FCC - Markets - Television - Newspaper

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Third, concentration of media ownership often suggest the presence of media conglomerates. When a company owns many different types of media businesses, it is referred to as a media conglomerate. The six current media conglomerates are Disney, Viacom, Time Warner, News Corp, Bertelsmann, and General Electric. These companies together own more than 90% of the media market.

Related Topics:
Media conglomerate - Disney - Viacom - Time Warner - News Corp - Bertelsmann - General Electric

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