Newsmax Files Antitrust Lawsuit Against Fox News Over Alleged Monopoly
Newsmax has filed an antitrust lawsuit against Fox News, alleging monopolistic practices in the right-wing pay-TV market. Newsmax claims Fox uses exclusionary contracts to hinder its growth, while Fox dismisses the suit as a tactic to avoid competitive failures.
Newsmax Sues Fox News
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Overview
- Newsmax has initiated an antitrust lawsuit against Fox News, accusing it of monopolistic practices within the right-wing pay-TV market to challenge its dominant position.
- The lawsuit alleges Fox News uses its significant market power to impose demands on television distributors, thereby restricting Newsmax's growth and exposure.
- Newsmax claims Fox employs exclusionary tactics, including contracts that financially penalize distributors carrying Newsmax by requiring high fees for other Fox channels.
- The legal action seeks to block these alleged exclusionary contracts and secure financial compensation for damages incurred due to Fox News's competitive practices.
- Fox News Media, along with Fox News, maintains that Newsmax's lawsuit is an attempt to litigate its way out of its own competitive failures.
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Analysis
Center-leaning sources cover the Newsmax v. Fox News lawsuit with a focus on factual reporting and providing comprehensive context. They present both sides of the dispute, detailing Newsmax's antitrust allegations and Fox's rebuttal, while also explaining the historical backdrop of the 2020 election and prior defamation suits.
"Newsmax is suing Fox News, accusing its fellow right-wing network of having engaged in anti-competitive practices."
Gizmodo"The lawsuit, filed in a Florida federal court, accuses Fox News of using its market power to coerce TV providers to restrict competing right-leaning channels."
BBC News"The lawsuit alleges that Fox Corp. engages in "at least" three anticompetitive practices: imposing explicit or tacit "no carry" provisions for competing right-wing outlets as it strikes deals for cable providers to offer Fox News to subscribers; requiring those that carry Newsmax or other competitors to carry Fox Business and sister outlets; and inserting what Newsmax's legal team calls "contractual barriers... intended to prevent Newsmax and others from competing.""
NPR"Fox’s behavior represents a textbook abuse of monopoly power."
Associated PressArticles (10)
Center (4)
FAQ
Newsmax alleges that Fox News uses exclusionary contracts and intimidation tactics, such as imposing financial penalties on distributors that carry Newsmax and employing private detectives to investigate Newsmax executives, to maintain its market dominance and restrict Newsmax's growth.
Newsmax's lawsuit seeks damages under Sections 1 and 2 of the Sherman Act, the Florida Antitrust Act, and the Florida Deceptive & Unfair Trade Practices Act, alleging that Fox News's conduct violates these statutes by restricting competition.
Fox News has dismissed the lawsuit as an attempt by Newsmax to litigate its way out of its own competitive failures, asserting that Newsmax is trying to generate headlines because it cannot attract viewers.
Newsmax is seeking an injunction to block Fox News's alleged exclusionary contracts and financial compensation for damages caused by Fox News's competitive practices.
The lawsuit was filed in U.S. District Court in southern Florida, and Newsmax is seeking a jury trial to address its claims against Fox News.
History
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7 articles