Another LPFM station has taken the plunge into the HD Radio space: introducing KVCB-LP, run by the Vacaville (CA) Christian Schools. KVCB is the second LPFM station to be authorized by the FCC to broadcast in HD – the first was WGVV-LP in Rock Island, Illinois, which received FCC authorization for digital broadcasting last decade, though it’s unclear if the station ever deployed it.
KVCB-LP was the brainchild of music teacher and genuine prodigy Ralph Martin, who’s long had the radio-bug: in 1997 he built a network of Part 15 AM transmitters for the students to use, and when the LPFM service was initially authorized in 2000, Martin made all the necessary plans to apply for a license.
Congressional meddling into LPFM – namely, tightening the interference-protection standards on these small stations – meant that Vacaville went from having potential channels available to having none. But Martin bided his time, and when Congress undid many of the restrictions on LPFM earlier this decade and the FCC opened another application-filing window, he was ready. Construction permit in hand, the station went on the air, initially analog-only, in 2014. Continue reading “LPFM + HD Radio = 💰🔥”
The closure of Tessera Technologies’ purchase of DTS Inc., the owners of iBiquity’s HD Radio system for just one short year, is set for sometime in December, and the combined companies will adopt a new name and stock symbol on NASDAQ in the new year. But just how much did the HD system itself drive its sale twice in 14 months, and what are the prospects for its future development?
Turns out, not very much on both counts: buried at the bottom of a story published by iHeartMedia-owned Inside Radio in early November was this gem: “DTS had been in sale mode since June 2014 when it was first approached with a $29-$32 per share buyout offer that proved to be too low for the board’s approval. But it set into motion the process that ultimately led financial advisors to shop the company. Tessera first appeared on the radar in August 2015 — two months before DTS bought the HD Radio business from iBiquity — and those discussions continued for months [emphasis added].”
In other words, DTS had put itself up for sale before negotiations began to acquire the United States’ troubled digital radio broadcast platform. And in fact, two months before DTS actually bought iBiquity and the HD system, it had already received acquisition-inquiries from Tessera. At the time, DTS’ board of directors considered the sale-price per-share too low…but what better way to bump that up to a more lucrative level then to acquire some additional intellectual property for the corporate portfolio? Continue reading “HD Radio's Next Bling Things”
It came as a surprise to attendees of last week’s NAB Radio Show in Nashville: just a day before the CEO of DTS, the company who bought HD Radio proprietor iBiquity just last year, was to be a featured guest at a convention luncheon, his company was acquired by Tessera Technologies in an $850 million deal.
Who is Tessera? Founded in New York back in 1990, the company initially began as a designer and manufacturer of semiconductor chipsets, including memory modules. It went public on the NASDAQ stock exchange in 2003; five years later it acquired FotoNation, a company devoted to image analysis. Continue reading “HD Radio: Sold…Again”
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?”
It’s not quite the IPO payday that iBiquity Digital Corporation’s investors had been hoping for, but it does absolve the company of trying to jumpstart radio’s digital malaise on its own. Last week, iBiquity annonunced it was being acquired by DTS in a $172 million deal.
Who is DTS? Perhaps best known for developing multichannel surround sound technology for the film industry, the publicly-traded company now offers a range of digital audio encoding and processing algorithms that can be found in a variety of media formats and electronic devices. Continue reading “HD Radio Sells Out”