Section 325 of the 1992 Cable Act lets full-power broadcasters elect must-carry or pursue retransmission consent, opening the door to cash negotiations and potential blackouts if talks fail, as outlined by the FCC’s official primer.
Escalating live-sports costs help drive fee growth; broadcasters cite multiyear NFL deals when justifying increases. Distributors say hikes inflate consumer bills, while broadcasters argue retrans reflects content value.
Regulators periodically explore arbitration and blackout-reporting rules - witness the FCC’s late-2023 Notice of Proposed Rulemaking, which culminated in a 2025 order establishing ongoing blackout disclosure requirements.
For many station groups, retrans revenue now rivals or exceeds core ad sales - making data-driven fee strategy a board-level priority.
Why It Matters:
Retrans fees underpin local-station economics. Entertainment analytics help model how fee shifts or blackouts may influence revenue.