Sirius and XM Satellite Radio have been working on a merger, which has the attention of terrestrial broadcasters like Clear Channel Radio, who is aggressively marketing digital radio (HD Radio), which places hybrid digital layers over regular AM & FM frequencies.
In an FCC filing, Clear Channel suggests a few concessions should the merger be permitted, so that competition between local broadcasters and satcasters can be preserved:
The satcaster should set aside portions of its channels over-the-air and public interest programming; subscribe to decency rules; not broadcast local content; not receive monies from local advertising; and that it build-in HD Radio receivers to each of its units so subscribers are provided a choice between subscription-based and free, over-the-air programming.
Without these concessions, the merged companies would have an unfair, dominant market position and could conceivably strike exclusive deals with car makers and effectively shut out free, over-the-air radio.
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2 comments:
The HD Alliance/iBiquity has a monopoly on digital radio, and satrad paid incentives to get in-dash. This is a competitive, free market, as HD Radio is trying to leech its way in-dash. HD Radio is a farce:
http://hdradiofarce.blogspot.com/
Years from now this whole scenario will be a case study in democracy, corporate fascism and political corruption. I have never seen such a spectacle. Maybe because I have unique experiences from my life that allow me to see quite clearly what is transpiring here. We have two companies that are true innovators, who have provided a quantum leap forward in technology, quality, crystal clear programming - on the whole the satellite radio has something for everybody. Sirius and XM have raised their own money and invested hundreds of millions, if not billions of their own dollars forging a new standard for excellence in audio broadcasting. Terrestrial got caught with their pants down. They are now calling in every favor, calling on every board member with Washington influence to find a way to either extort their way onto Sirus/XM's satellites or slap unwarranted and possibly anti-constitutional conditions on the merger that are designed to harm the long term future of satellite radio. Meanwhile news breaks that Kevin Martin may not be above reproach afterall. This has become the longest approval process in the history of US mergers. How is it the Exxon/Mobile merger was passed faster than this? There are a lot of dirty tricks at work here and citizens should be concerned whether or not they even listen to radio. Of course terrestrial radio is so naive they don't realize the next wave of technology is just a few years away and will likely blow everything else out of the water . . . just wait until national wifi is free and radio and phones are available for free.
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