The FCC is turning its gaze to iHeartMedia about whether the radio industry’s artist performance policies comply with federal payola regulations. Specifically, FCC Chairman Brendan Carr requested detailed information about artist compensation and airplay policies concerning the iHeartCountry Festival 2025.
In a February 24 letter addressed to iHeartMedia CEO Bob Pittman, Carr referenced a recent Enforcement Advisory, which warned radio broadcasters against requiring artists to perform at events for free or at a reduced rate in exchange for favorable airplay.
“This upcoming iHeart event provides the Commission with a real-world example of how such events are put together – including artist solicitation and compensation – and the procedures that are in place to ensure compliance with the relevant statutes and regulations regarding sponsorship identification and to ensure that the concerns raised in the Enforcement Advisory are being appropriately addressed,” wrote Carr.
He also emphasized the FCC’s commitment to enforcing payola laws, stating, “To the extent that radio industry executives believe that the FCC has looked the other way on ‘payola’ violations in recent years, I want to assure you that this FCC will not be doing that.”
The inquiry demands iHeart provide a list of confirmed and invited performers for the May 3 festival, their compensation details, and typical performance fees outside of the festival. The company must also clarify whether artist participation in the festival influences airplay decisions on its stations.
Additionally, the FCC is seeking information on iHeartMedia’s internal policies and training programs related to sponsorship disclosures and compliance with payola regulations following the Enforcement Advisory. The Advisory stressed licensees must exercise “reasonable diligence” to prevent airplay manipulation, especially those reporting to record charts, and that artists may perform at station events for free if airplay isn’t influenced.
Payola violations can carry fines up to $10,000 and potential jail time.
The company has been given 10 days to respond.
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These radio station concerts go back to the 1920s. The Grand Ole Opry was a weekly concert put on by WSM. It still is. They’ve done it for 100 years.
Beasley Media. “Guitar Pull”… they’ve been doing it for years. Augusta & Tampa.
🤣 Does payola even MATTER anymore?! Edison Research just recently measured that most people are discovering new music on Spotify first, then YouTube, THEN radio, and it’s been two years since they first measured that listening to devices OTHER than radio has overtaken radio for audio consumption in personal vehicles, which was radio’s last safe haven. So payola? Who really cares? It’s irrelevant.
This is Brendan Carr — who doesn’t belong anywhere near the FCC, let alone being its chair — trying to make it look like he’s regulating instead of his actual purpose for being there: destroying the regulator.
What’s truly funny about this is that the company in question owns more right-wing talk radio stations than any other ownership group in the country. By the very nature of the post-consolidation business model, the people who run the music stations in each cluster are the exact same people who run the talk stations. If Carr starts fining and jailing them… oops! There go the talk station’s operators, too!
Ultimately, this will amount to nothing. One or two people might get a nominal punishment, nothing more than a slap on the wrist. It’s all for show.
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