Limits to Media Consolidation?

Wow — and here I thought the market was supposed to take care of all of these problems: News Corp.s bid for Newsday has Congress looking to block more media consolidation (pdf)

Congress took the first step this morning toward invalidating new rules making it easier for companies to own newspapers and TV stations in the same city, with the leading backer of the legislation saying News Corp.s preliminary agreement to buy another New York newspaper highlighted concerns about increased media consolidation.

The Senate Commerce Committee unanimously approved a rare “resolution of disapproval” that would invalidate the Federal Communications Commissions controversial vote in December to ease a ban on cross-ownership of newspapers and broadcast stations in the nations top 20 markets.