WASHINGTON (dpa-AFX) - DIRECTV has filed a federal antitrust lawsuit seeking to block the proposed merger between Nexstar Media Group and Tegna. The lawsuit, filed in the U.S. District Court for the Eastern District of California, alleges that the transaction would significantly reduce competition and raise television costs for consumers.
The lawsuit claims that combining the largest and second-largest English-language broadcast station groups in the country would create an unprecedented level of media concentration. This would increase retransmission fees, reduce local news competition, and heighten the risk of programming blackouts.
DIRECTV argues that the merger would expand Nexstar's ownership from 164 stations in 114 media markets to 228 stations across 132 markets, extending its reach to more than 80 percent of U.S. television households, well above the current federal ownership cap of 39 percent.
DIRECTV also pointed to retransmission consent fees, which it said have climbed from about $214.6 million in 2006 to an estimated $11.9 billion in 2025, warning that further consolidation would accelerate cost increases passed on to subscribers.
The lawsuit follows a separate multistate legal challenge already brought by attorneys general from eight states against the merger.
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