I don't give a hoot where your operations are based. The important issue is to maintain competition.
I'm going to have to disagree with you on this one.
This rule is rooted in the idea that a local broadcast station exists to serve the local community. When a train derails or there's a tornado or a chemical spill in the city of license, the station has an obligation to serve that community at that time. Everything else is secondary.
That's the bargain they signed when they bought the broadcast license in that town. They got a 100 thousand watt signal, a tower, and a facility on the promise that when shit hit the fan, they'd stop playing music or syndicated talk shows and serve the community. A broadcast license is a license to do business, but there are conditions that come along with it.
When 9/11 happened, I got to see this first hand. That morning I went to work, and we'd stopped being an outlet that played music and had entertaining morning shows. Everything fell away and we were a CBS News affiliate. Our job was to present information to the public in the most objective way possible, to coordinate public resources as best we could, and to serve the public.
Money? That was not a concern. Our management went to our advertisers and said - in effect - "we're sorry about your commercials, but we're not going to be running them until we're done dispensing our duty to the people that own our airwaves. If you don't like it, you can fuck right off."
I, and a lot of people I work with, take this responsibility as serious as cancer. Yeah, most of the time we're entertainers, but when the rubber hits the road we're public servants.
Removing the home studio rule cuts us off from our community. Not directly, to be sure, but it says to companies like iHeartRadio (and they don't) that there's no reason to have anyone in the city of license anymore. That the station in (fill in your town) no longer has an obligation to that place. That the only thing that matters is the bottom line on a spread sheet at the corporate office in New York or wherever the company is based. Abandoning this rule takes the local station away from the locality. Whether the signal is located in Los Angeles or Terra Haute, it belongs to that community and should serve that community, not some bank account in Manhattan.
This is the core of our broadcast model since the early 20th Century...that the airwaves are owned by the public, and if you want to catch a ride on one you have to agree to serve the owners at some level.