Chairman Wants More Diverse Voices in Radio

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FCC Chairman Ajit Pai has circulated a proposal that would establish the requirements to govern the incubator program that the Commission adopted in 2017. The program supports the entry of new and diverse voices into the broadcast industry. It will be voted on at the FCC August meeting. Here are the details of the program.

The incubator program pairs established broadcasters with smaller new entrants or struggling owners who lack access to capital and operational experience. The established broadcaster—the incubator—would help provide financial and operational support, including training and mentoring, to the new or struggling broadcaster.  The program would initially apply to AM/FM full-service broadcast radio station ownership, as radio has traditionally been the most accessible entry point for new entrants and small businesses seeking to enter the broadcasting sector.

Pai said the FCC is committed to bringing more diverse voices into broadcasting and that’s why the new incubator program will be voted on next month. “This program will encourage new voices, including women and minorities, to enter the broadcast business.  In particular, it will help address the significant barriers, including lack of access to capital, that currently make it hard for many to join the broadcast industry.  I would like to thank all of the stakeholders, including the FCC’s Advisory Committee on Diversity and Digital Empowerment, that shared their recommendations on how this program should be structured.  I hope that my colleagues will join me in supporting this important initiative.”

3 COMMENTS

  1. Mr. Big A, Not according to the Radio Report, “This program will encourage new voices, including women and minorities, to enter the broadcast business. In particular, it will help address the significant barriers, including lack of access to capital, that currently make it hard for many to join the broadcast industry”. If The FCC opens up legislation so, more people could enter into the broadcasting business with the help of lines of credit that will benefit the minorities, I strongly applaud their initiative despite Mr Big A’s never ending desire to contradict every one of my modest comments.

  2. The FCC has had a long-standing policy about promoting diversity in broadcasting. The problem with Chairman Pai’s idea is it makes the larger station who would provide the capital into someone who has a financial interest in another station. That is illegal under the current ownership limit rules. What Chairman Pai should do is get the Small Business Administration to approve SBA loans for people who want to start radio stations. Radio owners aren’t currently eligible.

  3. This is the best news I ever heard from the actual FCC administration. I hope that this program would open up the crucial needed credits, so new small and median businesses could enter in to the broadcasting business with some credit, so the purchase of AM and FM radio station could became a feasible possibility because in the actual credit market, it is next to impossible to get any significant amount of financing for the purchase of any radio station. GOOD for the Chairman Ajit Pai for his decision to open up the credit world to new voices of radio like the minorities who desperately need more voices in our industry!!

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