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Which vendors are still active in the Internet radio space? Our new "RAIN Vendor Guide" will reveal the companies that have at least a limited marketing budget and want your business in 2002!
These firms are IN!

With a $1 MM/day burn, XM and Sirius need lots of cash to survive
From The Wall Street Journal: "Some analysts caution against comparing satellite radio with DirectTV. DirectTV had clear appeal for cable TV viewers, especially among sports fans seeking more games. But there is 'no similarly identifiable market' for satellite radio, says Deutsche Banc Alex. Brown analyst Karim Zia...

"The near-term risk facing both companies, analysts say, is finding enough subscribers so they can raise the financing they will need. Both XM and Sirius chew up about $1 million in cash every day, according to Ladenburg, Thalman & Co...

"Lehman Brothers analyst William Kidd reckons that XM needs 4.3 million customers and Sirius needs 3.4 million customers. He also says his forecasts include a 'modest decline' in the cost of the radio plus a $1.50 rise in the monthly subscription fee. He figures XM will need another $470 million by 2005 and Sirius will need an additional $460 million...

"In the end, Mr. (Leo) Kivijarv of Veronis Suhler expects only one satellite radio company will survive, though he says its premature to project who wins.

"But the history of satellite TV might prove instructive: DirectTV's rival, Echostar Communications, launched in March 1996, nearly two years after DirectTV. After several years of intense competition, Echostar now seeks to take over DirectTV..."

Pick up a copy of today's Wall Street Journal to read the entire article, or click here (registration required).
 

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Loudeye to provide ad-insertion ad sales for Radio Free Virgin
BY PAUL MALONEY
Loudeye Technologies will provide streaming ad-insertion for Internet radio provider Radio Free Virgin, with a new deal announced today.

The agreement will make Loudeye exclusive ad-insertion technology provider and ad sales for Richard Branson-backed multichannel webcaster. Radio Free Virgin streams over 40 musical genre-based channels through their unique player software.

According to a Loudeye press release, their ad technology will give advertisers various tools like ad verification, reporting, and coordinated audio and visual promotions like coupons and associated product information.

The Loudeye company, built up over the past few years by acquisitions of DiscoverMusic, OnAir, the Dial, and Activate (now a subsidiary), offers an array of technology-based music related tools like customized programming, music samples, digital rights management -- in addition to ad-insertion.

 


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Hiwire signs ad rep deals with four top Internet radio outlets
BY PAUL MALONEY
Ad-insertion firm Hiwire has announced a series of ad-rep deals with a group of leading streaming media outlets. With these agreements (and largely due to Hiwire's exclusive deal with broadcast giant Clear Channel), Hiwire says they now have a "one billion-plus" annual ad inventory.

The deals will make Hiwire an advertising sales representative for Live365.com, StreamAudio, SurferNETWORK, and Beethoven.com.

"As our audience grows in unduplicated reach and quality we are able to create more meaningful packages for current and new advertisers," Hiwire VP/Ad Sales Bob Nagengast said in a press release. "Our new partners and recently expanded sales team shows advertisers real value and benefits."

The agreements make
Hiwire ad reps only and do not involve Hiwire ad-insertion technology. Interestingly, StreamAudio and SurferNETWORK are both actually competitors of Hiwire in the ad-insertion space.

 
 
Writer likes XM's performance, but finds programming hit or miss
From Time: "Satellite radio promises 100 static-free stations. To hear for myself, I jumped into a Caddy and took it on a road test...

"The first thing to get used to with XM is all the new channels...About half an hour into our trip, I find an alternative-rock station that I can groove to. It's called Fred, and it plays songs by Erasure, The Cure, Social Distortion...

"One standout is a nifty talk channel called Buzz XM. Some of XM's homegrown channels sound as canned as the stuff my dentist plays. But the Buzz culls its content from lively AM and FM stations around the country. I especially liked 'Food Talk' with host Melinda Lee in Los Angeles.

"Unfortunately, even with 100 channels to choose from, there were times when nothing good was on. I like acoustic rock and world music, for example, but XM's offerings in these genres often bored me to tears. Although reception was good on highways and in cities -- thanks to a network of repeater antennas -- a trip to the Catskills took us through several dead patches. And, not surprisingly, there's no reception in tunnels and parking garages. Still, even with its flaws, XM is off to a great start."

Pick up the latest issue of Time to read the full article, or click here.

Feb. 7-10, 2002 RAB 2002: Orlando, FL
Feb. 20-24, 2002 Gavin Seminar: San Francisco, CA
Feb. 21-23, 2002 R&R Talk Radio Seminar: Washington, DC
Mar. 1-3, 2002 ConXis: Conference and Expo for Internet Streaming: Rosemont, IL
Mar. 14, 2002 16th Annual Bayliss Radio Roast: New York, NY
Apr. 5-8, 2002 Broadcast Education Association 2002: Las Vegas, NV
 
 

 

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