Reagan became as the 39th President of the United States in 1980. Reagan was a legendary Hollywood actor and his speeches often reflected his acting skills. "Reaganomics", with its tax-cutting fervor and pro-business bias, helped to promote the rise in self-interest. The administration defended cuts in social spending by noting that it was trying to undo the damage of "Great Society" programs, which had fostered a "culture of dependency."

Globalization became the buzzword by the end of the 1980s, with increased international ownership reflecting the many mergers that took place.

In the 1980s, another government arms-for-hostages scandal erupted. It became known as the Iran-Contra Affair. Unlike Watergate in 1973, the Iran-Contra affair did not bring down the president. Reagan was a former movie actor and friend of many powerful media executives and celebrities, and enjoyed a warmer relationship with the media than many past presidents. Televised Senate hearings were watched by millions daily but not with the same urgency as with Watergate. Television and radio talk shows debated over Iran-Contra, but the public eventually became tired with the whole affair.

During the 1980s, media companies merged and increasingly focused on the prices of their stocks on the stock exchange. When these new media mega-companies went public, corporate leaders decided that news should make money.

The decade experienced rapid deregulation under the Reagan administration, which made these new business developments possible. As a result, the broadcast industry began to focus more on the competitive nature of the industry and less on concepts of the public interest and public service.

New technologies such as cable television, led to expansion and the creation of new networks such as CNN and Fox. The "Big Three," CBS, ABC, and NBC, were forced to reckon with these newcomers and fierce competitions ensued.

MTV aired the first music video in August 1981, with "Video Killed the Radio Star" by the Buggles. It was a one-hit wonder for the band, but a multi-billion dollar success for the producers. MTV showed music videos non-stop, 24-hours-a-day, every day, with occasional breaks for rock news, commercials and special programming.

In the 1980s, when the underlying structure for the Internet was developed, the foundation was laid for one the biggest communication technology advances of the 20th and the following century. The personal computer also became a fixture in middle-class American homes and businesses and set the stage for heavy reliance on the Internet.

Coverage of conflict and war changed in the 1980s. The government believed that the press had interfered with the outcome of the war in Vietnam. Journalists war coverage was heavily restricted and press pools were created to provide coverage during excursions into Grenada and Panama.