This month, the Media Intelligence Service of the European Broadcasting Union published a comprehensive overview of the state of digital radio broadcasting throughout the continent. Unlike in the United States, where there’s little love for our proprietary, spectrum-squatting HD Radio system, many European countries are making such great strides with their digital-exclusive DAB/DAB+ networks that they’re mulling the sunsetting of analog radio within the next decade or so.
The EBU report contains mini-briefs on 21 countries and says states like Denmark, Norway, Switzerland and the United Kingdom lead the way in building out their digital radio systems and enticing listeners to migrate to them. Other countries such as Germany and France – who were key innovators in the DAB/DAB+ development cycle – only committed to building out a digital radio network earlier this decade. Even so, in Germany the sales of digital radio receivers already outpace analog radio sales. Continue reading “European Digital Radio Transition A Mixed Bag”
Speaking at the Country Radio Seminar last week, FCC Commissioner Mike O’Rielly laid out several items he’d like to make part of radio’s regulatory agenda this year. And true to form, the man who’s made pirate radio a personal crusade has big plans to try and wipe out what he calls “poison ivy in the garden of the radio spectrum.”
O’Rielly acknowledged that the largest concentrations of unlicensed broadcasters are in America’s cities, such as New York, Boston, and Miami, but claims that “the problem is expanding rapidly,” and it represents “an attack on the integrity of our airwaves – an attack that must be confronted and defeated on no uncertain terms, lest it continue to push forward.” Continue reading “O'Rielly Outlines Anti-Pirate Agenda for 2016”
Two years ago, the Library of Congress’ National Recording Preservation Board founded the Radio Preservation Task Force. Initially a collection of about 100 radio history scholars and archivists, the RPTF now counts more than 150 members and 300 member-archives.
In 2015 the Task Force conducted a multi-phase survey of existing radio recording archives and identified caches heretofore lost to history, particularly as they related to noncommercial and educational broadcast stations. Enriched by this metadata, where do we go from here? Continue reading “Radio Preservation Task Force Convenes in D.C.”
On Friday, the FCC opened a six-month filing window for AM broadcasters to acquire existing FM translators, and move them up to 250 miles into their local coverage areas. This is part of the agency’s AM revitalization initiative — though it’s still not exactly clear how FM spectrum fixes AM’s fundamental difficulties.
This window is exclusive to lower-power AM broadcasters; the large “flamethrower” stations will get a crack at the translator shuffle later this summer, and then the FCC plans to open an application window for new translator stations next year. The marketplace for translators, which has been simmering mightily underground for nearly a decade, has fully burst into the mainstream with the FCC’s blessing. Continue reading “Window Brings Surge of Translator Deals”
Much interesting news on the iHeartMedia front already in the new year. The wildly overleveraged conglomerate ended 2015 with an announcement that it hoped to convince some of its shareholders to swap debt they hold against the company for stock. It’s assumed iHeart is still on track to try and float this proposal later this spring.
However, it would seem that some shareholders would like to take matters into their own hands. Just days after iHeart announced its swap-plan, the New York Post reported that several large stockholders planned to pressure the company to devote nearly $200 million this month toward debt reduction. This would shave off less than 1% of the $21+ billion the company owes, though it would be a small step toward ameliorating what one unnamed banker calls “clearly not a sustainable capital structure.” Continue reading “iHeartMedia Facing Reorganization Pressures”
Seemingly out of nowhere: last Wednesday the executives at the award-winning cable news channel Al Jazeera America called an all-hands meeting and announced they would be closing down at the end of April. More than 700 people are expected to lose their jobs. AJAM first launched on 2013 and has struggled mightily to achieve a meaningful audience and generate advertising revenue.
Many of the preemptive post-mortems of AJAM assert that the problem with the channel was its journalism. Al Jazeera more broadly has a reputation for doing the style of reporting that curries no favor with the powerful, making for a fresh perspective in the U.S. cable news world. It also attracted a substantial roster of solid journalists from both commercial and public television.
The focus on AJAM’s content is misguided, for in many respects the network had the deck stacked against it before it ever took to the air. For this, you can primarily blame Team Cable: Comcast, Time Warner, Verizon, Charter, et al., the de facto oligopoly which functions as a gatekeeper to the cable television platform itself. Continue reading “Al Jazeera America Done in by Team Cable, Cheap Oil”
2015 was a potentially pivotal year for HD Radio, if only for a changing of the guard in the system’s ownership. In September, audio technology company DTS Inc. announced the acquisition of iBiquity Digital Corporation, the proprietor of the HD Radio Standard, for $172 million. Last month, DTS’ chairman and CEO, Jon Kirchner, penned a paean to the technology in an industry trade.
Calling HD “the biggest advancement in terrestrial radio broadcasting since the advent of FM radio,” Kirchner is obviously very upbeat on the technology’s prospects. His biggest hope is pinned to using HD Radio as a pipeline for “wider adoption of HD Radio and various DTS technologies,” supposedly working in concert, primarily in the automotive space. This, Kirchner believes, will foster an “independent and neutral [digital radio] platform for the radio industry.”
Two weeks after penning this missive, DTS announced a management shakeup at iBiquity. Founding CEO Bob Struble has been set aside (to become a “special advisor” to Kirchner) while iBiquity chief operating officer Jeff Jury was promoted to a new managerial-level position within DTS responsible for both “Automotive” and HD Radio. Continue reading “HD Radio's High Hopes for 2016”
Right before the holidays, and with little fanfare, the U.S. Copyright Royalty Board released its revised rate-structure for the music royalties streaming audio services must pay. Not surprisingly, large “pure-play” services like Pandora, Spotify, and Apple Music saw their rates per-song/per-listener increase (though they say they can weather the increased cost), while terrestrial AM/FM radio broadcasters actually caught a break. No change for noncommercial webcasters, who play a flat yearly fee up until they hit a certain song/listener threshold (which the vast majority never do).
However, the CRB rates do not include special carve-outs for small, indepdendent, commercial webcasters, who (since 2008-9) typically pay a percentage of their revenue to satisfy the royalty gods. In the past, these deals have been negotiated between this constituency and SoundExchange, the music industry’s streaming royalty-clearinghouse in charge of collecting and disbursing royalty payments, and then codified into the CRB’s rate structure. Continue reading “Extinction-Level Event For Small Commercial U.S. Webcasters?”
For the last dozen years, a vibrant marketplace has been brewing in the speculation and sale of FM spectrum through the acquisition of translators. FM translator stations have historically been low-power repeater stations that serve to supplement the coverage area of a full-power parent station. Today, translators often operate as wholly stand-alone operations; while they are still fed programming from a parent-station, that parent can be in a completely different market, or running a completely different format on its full-power analog frequency.
The evolution of translators from a secondary to a quasi-primary service has exploded the asking price of translators in markets large and small. The majority of translators (built or unbuilt, with just an FCC construction-permit in hand) regularly sell for five to six figures, and in major markets they can fetch millions of dollars. Translator prices only seem to increase as the amount of fallow FM spectrum in any given market gets more scarce. Continue reading “eBay for Translators Has Limited Launch”
Many industry-watchers have been fixated on the travails of Cumulus Media, which ousted its founding family earlier this year and replaced them with new management backed by the private-capital firms that now control the company. It hasn’t yet resulted in a massive turnaround for Cumulus stock, which is up about ten cents or so from its lowest low earlier this fall. Still, that values the country’s second largest radio conglomerate at a paltry $82 million and change — you can now pick up a few shares of Cumulus for a dollar and still have change left over for a gumball.
But Cumulus is not the only company now trading under a buck. There’s also Emmis Communications — the primary driver behind the NextRadio application and a major innovator in the HD Radio space — whose shares are now trading at just 62 cents, triggering a delisting warning from NASDAQ. Just three months ago, Emmis stock was worth $1.42 per share; a decade ago, the stock was worth 100 times more than it is today. Continue reading “Radio Stocks on the Dollar Menu”