FCC Joint Reply Flames musicFIRST, iHeart

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A new joint reply to the FCC’s Quadrennial Review puts musicFIRST and iHeartMedia in the crosshairs of the deregulation debate, using both organizations’ own arguments against them in the face of digital competition.

Radio Ink received a copy of the reply filed on Monday by Townsquare Media, Forever Media, Connoisseur Media, Neuhoff Communications, Mid-West Family Broadcasting, Frandsen Family Stations, Patrick Communications, Midwest Communications, Eagle Communications, and Legend Communications. Edison Research’s ‘Infinite Dial’ Report is at the argument’s core, pointing to the exponential growth of online audio in recent years compared to the decline of AM/FM listening.

musicFIRST filed a reply in August 2022 with The Future of Music Coalition saying that small broadcasters would be swept away by corporate competition if the Local Radio Ownership Rule was relaxed. In their statement, the performance royalty fee pushers stated that small stations also face a threat from online audio. The new reply turns that around on musicFIRST saying all radio faces imminent danger.

iHeart’s argument against deregulation rests on the idea that AM would be crushed under the weight of unlimited FM signals. Monday’s filing calls that argument short-sighted, saying that both AM and FM are being crushed by digital competitors.

The joint replay referenced newspaper’s fight with digital. As online news sources moved in and lawmakers did nothing, saying, “Investment dried up, and the few companies willing to invest in that industry were ones that were not committed to localism and community service.”

The reply ends, “If the Commission does not act now to level the playing field by removing archaic ownership restrictions that burden local broadcasters, but not their formidable competitors, over-the-air radio stations will simply be unable to maintain the current level of local service, a result that is clearly contrary to the public interest.”

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