### Question
Can you define what substantial dilution means?


### Answer
**Substantial dilution** is defined as the following in *47 U.S.C. § 763*:

> that a majority of the financial interests in the successor entity is no longer held or controlled, directly or indirectly, by signatories or former signatories

#### Citation:
  - *47 U.S.C. § 763*
  - Heading: **CHAPTER 6-COMMUNICATIONS SATELLITE SYSTEM > SUBCHAPTER VI-COMMUNICATIONS COMPETITION AND PRIVATIZATION > Part B-Federal Communications Commission Licensing Criteria: Privatization Criteria**

