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 BY
KURT HANSON
Or should that be, "What's ahead for audio?"
That's a key distinction, because
if CBS/Infinity and Clear Channel/AMFM and
Emmis and Entercom and Cumulus and all the other existing radio
broadcasters define themselves as providers of music and information
and entertainment in audio form, that's one thing. But if
they define themselves as providers of music and information and
entertainment that's transmitted via AM and FM radio frequencies,
that's quite another -- and maybe not so good.
Just to
put things into perspective as we all start our new year (and
century), here is what's coming up soon...with much of it coming
this year:
Millions of car radios are soon going to have access to the
subscription services of Sirius Satellite Radio and XM Radio --
with each service offering dozens of channels of commercial-free
music for about $9.95/month. Subscription radio via cable systems
into the home has not met with much popular support -- but will
this?
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Here's
what CNET News wrote yesterday on the subject (in an
article that was primarily about other media):
"Sirius Satellite Radio, with support from Ford Motor,
and XM Satellite Radio, which counts General Motors as an investor,
are developing coast-to-coast digital music systems that will
deliver as many as 100 channels of commercial-free music, talk
shows, and news and information to commuters and long-haul truckers
nationwide.
"At $10 per month, industry experts expect millions of
Americans to latch onto the satellite radio services, as new
cars begin including the systems and as stereo makers such as
Alpine, Clarion and Panasonic offer new after-market satellite
receivers.
"'[Satellite radio] will be the fastest-selling consumer product
of all time. It's going to be huge,' Leichtman said. 'This has
very widespread appeal, and people get it immediately. They
understand what it is...'
Click here
to read the full story. |
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Meanwhile,
2/3 of American households are soon going to have Internet connections
that give them access to streamed audio of broadcast radio stations
-- in their town and around the world. Will this allow your listeners
to listen to you in new locations (e.g., in office buildings with
bad reception)...or will it encourage them to listen to stations
in markets that are hundreds or thousands of miles away?
In addition, those same listeners will be able to listen
to hundreds of Internet-only radio stations and channels -- stations
with little or no "stationality," admittedly, but with
extremely low spot loads and customization features that broadcasting
can't offer.
And they
won't be restricted to listening on tinny computer speakers,
either. New appliances and portable players are coming out in the
next few months that will allow people to listen to Internet-streamed
audio on stand-alond devices, on their home stereos, and (via downloads)
on Walkman-like devices.
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From
the current issue of Business Week:
"After several false starts, this year the media business
will get its first real taste of the competition being ushered
in by the Digital Age. More than one-third of U.S. consumers
will be staring at some form of digital appliance in 2000. These
services will include everything from TV signals beamed from
direct broadcast satellites to superfast cable modems to link
their computers to the Internet.
"The competition for viewers will become intense enough
to cut into the earnings of TV networks, cable operators, and
Internet startups alike--even as the industry basks in the most
robust advertising market of recent memory..."
Read the full story in Business Week here
(subscription required). |
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Meanwhile,
on a totally positive note, radio stations now can offer a visual
compliment to their programming via their websites. If you're
a programmer, you can now put up the title and artist of the song
you're playing. You can use your website as a high-tech request
line -- and give better customer service than you've ever been able
to before. If you're in sales, you can add visuals that correspond
with your advertisers' spots or links to their websites. The possibilities
are limited only by your imagination.
And you have the opportunity to turn your radio station
into a global presence if you do it right (just as KIIS-FM/Los Angeles
is trying to do with their "KIISFMi" website).
So it should be an exciting few months! Please join us here
daily as we cover and hopefully help you interpret this activity.
Please feel free to comment on the above article! Click here.
Feedback:
"When the Internet goes mobile..."
-- Jack
Messmer (Radio Business Report) |
Monday,
January 3, 2000 at 09:35:25
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Given the choice
between paying a monthly fee for satellite radio or wireless mobile
Internet, how many people will choose satellite radio? Of course,
a few people will pay for both, and satellite radio will deploy
first. Before satellite radio is even a decade old, I expect to
see wireless Internet stop it dead in its tracks, at least as far
as growth is concerned (perhaps killing it completely if it's not
yet to the break-even point). I doubt that terrestrial radio has
much to fear from satellites, but when the Internet goes mobile,
it may be a very different story.
From eRadio: "iCommerce Group, Inc. (OTCBB:ICGI) has
entered into a binding letter of intent with Dick Broadcasting...for
the purchase of $1 million worth of radio advertising airtime in
exchange for 1,000,000 restricted shares of iCommerce Group common
stock. The Company intends to utilize the advertising slots to advertise
and promote key e-commerce sites such as Screenfix.com and Musicinstock.com..."
This appears to be the same model that CBS's Mel Karmazin
has used successfully in acquiring pieces of Switchboard.com, CBS
Sportsline, CBS MarketWatch, and the contest-based portal iWon.
Click here
for the full story in eRadio.
Yahoo, RealNetworks at a contract
crossroads
December 30, 1999
From CNET News: "RealNetworks and Yahoo have arrived
at a crossroads in their relationship, with a major contract involving
streaming media services on the Web portal's Broadcast site set
to expire later this week. Although Yahoo Broadcast says it supports
all streaming media formats, RealNetworks currently has preferred
status on the site. The looming Jan. 1 expiration brings uncertainty
to whether the contract will be renewed, or possibly revised
or revoked..." Click here
for the story.
Happy New Year: Innovate or Die
December 31, 1999
From Red Herring: "Never before in the history of mankind
has understanding the confluence of technology, information, strategy,
and analysis played such an important role in the global economy...
Now a new study bears proof that more than ever, today's mantra
is innovate or die. Consequently, America's corporations have decided
to ante up. Across diverse industries in the new year, corporations
plan to increase spending on research and development to a new high...
The implications for business are astounding. Decades-old, esteemed
corporations, suddenly face the possibility of extinction, overwhelmed
by the promise of startup firms, some just months old..."
Click here to read
the full piece.
More detail on
this topic coming soon.
The logos above
are buttons that will take you to the corresponding site.
Click here for some
screenshots of various audio players.
Click here
for the "beta version" of a RAIN summary page on WWW.com.
Want to read more? See menu at top left.
Want to contribute editorial content? Drop us a line here.
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