Shorten welcomes CBS down under saving Ten

Federal Labor believes the decision by US media giant CBS to buy the Ten Network proves why the Turnbull government's media ownership reforms should be parked.

The broadcaster has entered a binding agreement to acquire the business and assets of the troubled Australian media company.

"The case for abolishing the two-out-of three rule was to save Channel Ten. Well CBS has saved Channel Ten so we don't need to tamper with media diversity laws," Opposition Leder Bill Shorten told reporters in Melbourne on Monday.