Newsmax Sues Fox News Over Alleged Anti-Competition Practices
A fierce legal battle is brewing in the U.S. conservative media landscape as Newsmax has filed a lawsuit against Fox News, accusing the dominant network of using its market power to stifle competition and maintain its stronghold in right-leaning television news.
The lawsuit, lodged in a federal court in Florida, claims Fox News has engaged in anticompetitive tactics by coercing cable and satellite TV providers to limit distribution of rival conservative channels.
Newsmax alleges that Fox News used exclusive content deals to block other right-wing networks and imposed financial penalties on providers that carried competitors. The suit further claims Fox used intimidation tactics, including pressuring guests to avoid appearances on rival channels and even hiring private investigators to target Newsmax executives.
“Fox may have profited from exclusionary contracts and intimidation tactics for years, but those days are over,” said Newsmax CEO Christopher Ruddy in a statement.
Fox News Pushes Back
Fox News, owned by billionaire Rupert Murdoch’s media empire, rejected the accusations, framing them as an attempt by Newsmax to mask its own struggles to grow its audience.
“Newsmax cannot sue their way out of their own competitive failures in the marketplace to chase headlines simply because they can’t attract viewers,” a Fox spokesperson said.
Fox News remains the most-watched conservative news outlet in the U.S., with a market value estimated at nearly $26 billion (£19 billion).
What Newsmax Wants
The lawsuit seeks a court order to block Fox News from engaging in what Newsmax calls exclusionary contracts, as well as monetary damages for alleged harm caused by these practices.
Founded in 1998, Newsmax has seen a surge in popularity in recent years, bolstered by former President Donald Trump’s public support. The network, valued at around $1.8 billion, has tried to position itself as a major rival to Fox News, particularly among Trump-aligned conservatives.
Legal Battles in the Election Aftermath
Both networks have faced legal troubles since the contentious 2020 U.S. presidential election.
Earlier this year, Newsmax agreed to pay $67 million (£50 million) to settle a defamation lawsuit filed by voting machine company Dominion, which accused the network of spreading false claims of election rigging.
Fox News was also entangled in litigation with Dominion, ultimately agreeing to a historic $787.5 million (£634 million) settlement in a separate defamation case over its election coverage.
The outcome of Newsmax’s lawsuit could reshape the competitive landscape for conservative media, potentially curbing Fox News’ influence over cable distribution deals while giving smaller players like Newsmax a stronger foothold in the market.