Skip to main content Skip to search


Browse by
                    category
                Browse by
                    bureaus & offices
            About the FCC
          About the FCC
                      About the FCC Overview
                                                      What We Do
                                                      Rulemaking Process
                                                      Leadership
                                                      FCC Initiatives
                                                      Find People
                                                      Organizational Charts
                                                      Advisory Committees
                                                      Jobs and Internships
                                                      Contracting
                                                      Strategic Plans & Budgets
                                                      Contact
                                                                    FY 2025 Congressional Budget Justification
                                                      Privacy Policy
                                                      Accessibility Program
                Proceedings & Actions
          Proceedings & Actions
                      Proceedings and Actions Overview
                                                      Electronic Comment Filing System (ECFS)
                                                      Commission Documents (EDOCS)
                                                      Most Active Proceedings
                                                      Items on Circulation
                                                      Ex-Parte
                                                      Daily Digest
                                                      Mergers & Transactions
                                                      Auctions
                Licensing & Databases
          Licensing & Databases
                      Overview
                                                      About Licensing
                                                      Databases
                                                      Fees
                                                      Forms
                                                      FCC Registration System (CORES)
                                                      System Alerts & Notifications
                                                      ASR
                                                      CDBS
                                                      CEFS
                                                      COALS
                                                      CORES
                                                      CSRS
                                                      DIRS
                                                      EA
                                                      ECFS
                                                      EDOCS
                                                      ELS
                                                      ETFS
                                                      ETRS
                                                      GenMen
                                                      HAM
                                                      KDB
                                                      KIDVID
                                                      LMS
                                                      ICFS
                                                      NORS
                                                      PIF
                                                      PIRATE
                                                      PSIX-ESIX
                                                      RLD
                                                      TCB
                                                      ULS
                                                      URS
                                                      VPD
                Reports & Research
          Reports & Research
                      Reports and Data Overview
                                                      Reports
                                                      Data
                                                      Guides
                                                                    Maps
                                                      Working Papers
                                                      For Developers
                                                                    Fiscal Year 2022-2026 Strategic Plan
                                                      Workload Dashboard
                News & Events
          News & Events
                      News and Events Overview
                                                      Headlines
                                                      Commission Meetings
                                                      Events
                                                      Archived Events
                                                      FCC Podcast
                                                      Notes from the FCC
                                                      FCC Blog
                                                      RSS Feeds & Email Signup
                                                                    April 2024 Open Commission Meeting
                For Consumers
          For Consumers
                      Help Center Overview
                                                                    Consumer Complaint Center
                                                      Disability Rights
                                                      Headlines
                                                      Social Media
                                                                    Robocalls
                                                                    Consumer Complaint Center
              Consumer
                Enforcement
                Media
                Public Safety
                Space
                Wireless
                Wireline
                Offices
    
                  Search
  

  X
  Search Home
              Reports & Research
              Guides

  Overview of the FCC’s Review of Significant Transactions Mergers & Transactions
      

          

  Current & Recent Transactions
                                
  
  Featured Item
                  Off

  Mega Menu Desktop Only
                  Off
                                        Major Transaction Decisions
                                
  
  Featured Item
                  Off

  Mega Menu Desktop Only
                  Off
                                        Archived Transactions
                                
  
  Featured Item
                  Off

  Mega Menu Desktop Only
                  Off
                                        Frequently Asked Questions
                                
  
  Featured Item
                  Off

  Mega Menu Desktop Only
                  Off
                                        Process Overview
                                
  
  Featured Item
                  Off

  Mega Menu Desktop Only
                  Off
                                        Transaction Team, Office of General Counsel
                                
  
  Featured Item
                  Off

  Mega Menu Desktop Only
                  Off

  Guides
      

          
        What We Do
                Guides
                Open Meetings
                Announcements
                Ex parte
                FCC Federal Register Documents
                Document Sources
                Items on Circulation
                Office of the SecretaryIntroduction

Congress has charged the FCC with initially assigning licenses and authorizations under the Communications Act – for example, broadcast radio and television licenses, licenses used by wireless companies, satellite authorizations, and authorizations to provide landline telephone service. Congress also requires that the FCC approve any time one of those licenses or authorizations is assigned to another person, or control of the company holding that license or authorization is transferred. In plain terms, the FCC must approve every time a license changes hands. As a practical matter, then, the FCC reviews every merger involving a telecommunications company.

The standards for the FCC’s review have also been set by Congress. Both in making the initial assignment and in reviewing the transfer of any license, the FCC must determine whether “the public interest, convenience, and necessity” would be served by granting the application. A large part of that determination involves assessing the competitive impact of the license transfer. But unlike other parts of the federal government, the FCC examines not only whether competition would be harmed by approving the license transfer but also whether it would be enhanced. In addition, the FCC examines the likely effects of the transfer on the private sector deployment of advanced services, the diversity of license holders, and the diversity of information sources and services available to the public.

After reviewing the evidence and hearing the views of the public, the Commission issues its decision. The Commission may approve the application outright, or with conditions designed to ensure that the public interest is served. Transactions can be approved with conditions that allow the transaction to proceed but eliminate or mitigate the potential harms the Commission has found are likely to occur. If the Commission is unable to approve the transaction, it will refer it to an Administrative Law Judge for a hearing.

Steps in the process

*Filing of Application*. The FCC’s review begins with the filing of an application by the current license holder and the person who is seeking to acquire it. An FCC license cannot be transferred until the FCC approves, but there is no time limit between when parties may reach an agreement to transfer their licenses – and announce that fact to the public – and when they must file their application.

*Initial Public Notice*. When the FCC receives an application, it generally reviews it for completeness. When the staff has determined the application is in good order, it will announce in a Public Notice that the application has been accepted for filing. At that point, interested people may file comments or oppositions. Most applications, however, are routine and are granted quickly, and the Commission has instituted a number of procedures to streamline the process. Both the receipt and approval of these routine applications are announced in Public Notices that the FCC issues several times a week.

*Major Transactions*. If the transaction is significant, for example, because it presents a novel or complex issues of law or policy, proposes a combination of companies that is likely to have a significant impact on the public or involves issues that are likely to elicit significant public comment, the Commission will issue a separate Public Notice notifying the public that the application has been received and setting a schedule for accepting comments and oppositions. A web page will also be set up to provide the public with easier access to the documents in the case: the application, the supporting materials, Commission orders, and comments and responses. The rest of this page discusses the steps in the Commission’s review of these significant transactions.

*Contents of Application*. In their application, the parties will not only describe their transaction, but will discuss the benefits they expect they will achieve, such as increased competitiveness or costs savings. They may also discuss the potential harms, for example, the potential decrease in competition, and either explain why they believe those harms will not occur or offer potential remedies that the Commission could adopt to mitigate the harms.

*Public Comment*. After the application has been accepted for filing, comments on the application and oppositions to the application (termed Petitions to Deny) are due, usually within 30 days. Here, interested parties offer their views, either in support of or in opposition to the proposed transaction. Those opposed may provide their own analyses and may propose their own remedies and conditions. The applicants’ response is often due 10 to 15 days after that, and the commenters’ response is typically due 7 days later. These time periods can be lengthened if the issues are complex, and may be made shorter if they are not, although there will always be at least 30 days provided for persons to file their initial comments.

*Information Requests and Treatment of Confidential Information*. Usually shortly before or after the last set of comments have been filed, the Commission staff will issue a set of information requests to the applicants. These will typically consist of direct questions, requests for information (sales data, calculations of claimed benefits, etc.), and requests for documents (e.g., analyses of competitors). The Commission may also seek information from third-parties, such as competitors or customers of the applicants. Much of this material may be confidential and would significantly harm the companies if their competitors were to see it. The Commission therefore issues a protective order that limits who may examine the confidential material and prohibits anyone from using the material outside of the Commission’s proceeding.

*“Ex Parte” Rules*. In significant transactions, the proceedings will generally be designated as “permit but disclose.” This means that people may talk to and meet with the Commission staff and individual Commissioners during the review process without all the various parties being present (what is termed an ex parte presentation), so long as within two business days, they file a summary of what was said and attach any documents that were handed out. Those summaries will be posted on the transaction’s web page usually within a day or two after they are filed, allowing the public to see who met with whom and what was discussed. However, if someone fears retaliation for talking to the Commission, the conversation can be kept confidential.

*Timeline*. The Commission endeavors to complete its review of all transactions and issue an order within 180 days of accepting the application for filing. The web page for the transaction shows the status of a transaction on this informal timeline. Occasionally, the transaction “clock” is stopped – shown by red on the web page – if for some reason beyond the Commission’s control, the staff cannot move forward with its review. This may occur, for example, if the applicants delay in responding to an information request or if significant new issues have arisen in the proceeding.

A list of Frequently Asked Questions can be found here.

              Date Last Updated/Reviewed:
                  Thursday, July 10, 2014
 Text
                  Federal Communications Commission
45 L Street NE
Washington, DC 20554

  Link
        Phone: 1-888-225-5322
              ASL Video Call: 1-844-432-2275
              Fax: 1-866-418-0232
              Contact Us
              Visiting FCC Facilities

          
          Link
        Website Policies & Notices
              Privacy Policy
              FOIA
              No Fear Act Data
              Digital Strategy
              Open Government Directive
              Plain Writing Act
              RSS Feeds & Email Updates
              Accessibility
              Vulnerability Disclosure Policy
              USA.gov

          
          Text
                  CATEGORIES

  Link
        About the FCC
              Proceedings & Actions
              Licensing & Databases
              Reports & Research
              News & Events
              For Consumers

          
          Text
                  BUREAUS & OFFICES

  Link
        Consumer
              Enforcement
              Inspector General
              Media
              Public Safety
              Space
              Wireless
              Wireline
              Offices


          Twitter
        Facebook
        Youtube
        Instagram

          Federal Communications Commission