Lastly, the Communications Act of 1934 was passed which granted the government additional authority, as well as gave them the power to create the Federal Communication Commission to oversee the necessary provisions.
Essentially, a broadcasting license is giving an entity or company permission to use a frequency under the many outlets under the media spectrum. Each frequency that is available under the radio/telephone/television spectrum is assigned to an individual entity that then communicates whatever messages or services it wants through that particular station. In my opinion, I believe that creating restrictions towards ownership of broadcast licenses is an excellent way to stimulate competition while eliminating bias reporting or programming. Despite ending possibilities for stations to monopolize, licensing restrictions have also allowed for many businesses to thrive in a constant growing market. An example of this would be the relationship between the biggest and smallest cellphone service providers. Steve Berry, who represents the Competitive Carrier Association, disputed that AT&T and Verizon make up about 70 percent of the revenue in the cell phone industry. With AT&T and Verizon being the two largest service providers, Sprint and T-Mobile are the smallest. Without these restrictions, there would be an excessive imbalance in power and influence, thus eventually resulting in Sprint and T-Mobile running out of business. In addition, this would stop the FCC from accomplishing their long-standing goals, which include ensuring competition, localism, and diversity of voices. I feel that it is necessary to provide a variety of programs with different service providers to better ensure that the public interest is met. .
According to the fcc.gov, the public interest standard in broadcasting is to "foster the commercial development of the industry and to ensure that programming serves the educational and informational needs of Americans.
