BY KURT HANSON AND PAUL MALONEY
Los Angeles-based website developer Feed the Monster seems as if it may have gone out of business last night, as all of its client websites are down -- replaced by an amateurish one-page message telling each station's listeners to contact the station's general manager.

Yesterday evening, the firm issued a press release annoucing that it was experiencing "a cash shortfall that could affect its operations."

The press release also announced the resignation of two members of its board of directors -- R&R founder Robert Wilson and Greg Mastroieni.

Other Feed The Monster board members include Secret Communications CEO Frank Wood, CBS/Infinity programming chief John Gehron, and Farmclub.com CEO Andy Schoen. The firm was originally co-founded by Wilson and consultant Jeff Pollack.

The press release noted, "The company is currently negotiating with investors, investment banking firms and potential strategic partners in order to form new capital. It is anticipated that the company will make an announcement very soon as to the outcome of these negotiations."

"If the company does not successfully conclude these negotiations it will suspend its operations.

"FTM's client sites currently online include www.kroq.com (KROQ) and www.fmtalki.com (KLSX-FM) in Los Angeles, www.live105.com (KITS-FM) and www.kcbs.com (KCBS) and www.radioalice.com (KLLC) in San Francisco, www.wbcn.com (WBCN) in Boston, www.B96.com (WBBM-FM) in Chicago and www.whfs.com (WHFS) in Washington, D.C."

To read the full press release, go to BusinessWire, and use the search function at the top with the keyword "Monster."

...

... We've previously noted that Feed the Monster had a staff of supposedly around 70 people -- and managed to develop only about one website every couple of months. And note the MAJOR sarcasm on the placeholder page (shown above) -- in its wording, its smiley face, and the overall seemingly intentionally-junior-high-school-caliber look of the page itself. (It's like they felt obligated to add one final insult to their clients.) ...

RAIN has received several pieces of feedback today defending Feed The Monster -- but virtually all of them were anonymous. (An intriguing one reads, "There is a much bigger issue at hand that is over your head.") RAIN's efforts to contact various FTM executives and clients have not yet resulted in any returned phone calls.

"FTM was forced to take down their clients' sites..."

You obviously know nothing about the situation. FTM has continually bent over backwards for all of their clients and been there 24/7 for them creating the best award-winning, major market radio station websites available. The fact that they have been building the sites FOR FREE doesn't hold up anymore. Get it right or don't write anything at all.

You obviously don't understand the situation at hand AT ALL, nor why FTM was forced to take down their clients sites and put up that "amateurish" message. There is a much bigger issue at hand that is over your head.

"Deep background" only

"Something is wrong with who we are doing business with..."

Message to all broadcasters: Your Web Services Provider must be able to make money or they will go the way of OnRadio, Magnitude, and now FTM! Doesn't this send a message to us all that something is wrong with who we are doing business with on the Internet?

"Deep background" only

"Was this a publicity stunt...?"

What's the deal? As of 2:30 Central, FTM's site is up and going strong, as are all of the above radio station sites. Was this a publicity stunt? It sure got my attention!

Jeff Dunn

"FTM owns all the sites and can do with them as they wish..."

Your read and the facts of your story are dead wrong. The page is simply a marker and results due to a failure of CBS executives to pull their head out of their ass. FTM owns all the sites and can do with them as they wish, the marker is clear in that respect. All stations were informed hours in advance of marker placement. Perhaps you should call FTM and other concerned parties before running off at the mouth. Why don't you call the president of Infininity and get your facts directly, i.e., Mr. Mel Karmizin!

Please note also that the station's general managers are in support of FTM's position, so it's not as if it's a cheap shot to them, they were fully aware of the consequences of the negotiation process due to FTM ownership of each site.

Monster1010

Have a perspecitve on this story? Drop us a note! (Or, to use your own e-mail software, click here.)   Your e-mail address:   Your name (if not obvious from your e-mail address):     Kurt, this is deep background -- don't quote me!         Thanks!

Wed. 3:30PM CDT update: The Feed the Monster websites seem to be back up again at the time of this writing. Note that some newly-received reader feedback, below, suggests that something like a billing dispute may have been going on between FTM and its CBS/Infinity-owned client stations.

BY KURT HANSON
In a reorganization of its top ranks, respected research guru Gerry Boehme (pictured below, left) is replacing Mike Agovino (right) as President of Katz Interactive, Boehme confirmed to RAIN yesterday.

Previously, the organization was led by a triumvirate of Managing Partners that included Agovino, Boehme, and Mitch Kline. That structure, including the "Managing Partner" title, no longer exists, Boehme said.

"As President, I'm now responsible for both the daily operation and the future direction of the company," he explained, noting, "The interactive space was something that I was concentrating on as part of my overall corporate responsibilities to Katz Media Group, so this represents an exciting opportunity on me to focus on building that division into a real profit center for Katz."

As for Agovino and Kline, "Their corporate roles are currently being defined and that will be announced shortly, and I suspect that both of them will be very heavily involved in interactive as well as other Katz initiatives."

Katz's deals to represent webcasters typically require that the webcaster give Katz a percentage of the equity in the company. "We basically are talking to potential clients about a combination of commission rate and options to motivate our sales force -- and we've gotten great response from people that we've spoken to. All the deals that we've done so far have included those elements," Boehem told RAIN.

Announced representation deals signed by Katz have included NetRadio, Everstream, Akoo, Clear Channel's "NuclearChannel.com" website, and Digacast.

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