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U.S. tv stations owned by their own broadcast networks In the United States, (frequently abbreviated as O&O s) constitute only a part of their moms and dad tv networks' station bodies, due to ownership limitations enforced by the Federal Communications Commission (FCC). Presently,  This Piece Covers It Well  of television stations owned by any business (including a television network) can only reach a maximum of 39% of all U.S.

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Distribution At the dawn of the American tv market, each company was just permitted to own an overall of 5 tv stations around the nation. As such, when the networks introduced their television operations, they found it more advantageous to put their 5 owned-and-operated stations in large media markets that had more households (and therefore, denser populations) on the belief that it would result in higher profits.

The five-station limit postured a problem for the Du, Mont Television Network, the very first effort at a " 4th" television network. Paramount Pictures, which had actually owned KTLA (channel 5) in Los Angeles and WBKB (channel 4, now WBBM-TV on channel 2) in Chicago, owned a share of the network. Nevertheless, the FCC stated that Paramount managed Du, Mont and thus prohibited the network and the studio from obtaining any more stations.

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For much of the era from 1958 to 1986, the significant network-owned stations were distributed as follows: ABC, CBS and NBC each owned stations in the top three markets (New York City, Los Angeles and Chicago). Between 1958 and 1965, fourth-ranked Philadelphia housed CBS-owned WCAU-TV (channel 10) and NBC-owned WRCV-TV (channel 3, now KYW-TV), a station which NBC had actually acquired 2 years previously through a trade with Westinghouse Broadcasting in return for NBC's tv and radio stations in Cleveland.

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Each network owned stations in other markets where the other networks did not: in addition to Cleveland, these were ABC's KGO-TV (channel 7) in San Francisco and WXYZ-TV (channel 7) in Detroit, NBC's WRC-TV (channel 4) in Washington, D.C., and CBS' KMOX-TV (channel 4, now KMOV) in St. Louis. As a result of a revision to the FCC's media ownership rules in 1999, a company can now own any number of television stations with a combined market reach of less than 39% of the country, however can not own 2 of the 4 highest-rated stations in any market.