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Radio Daze
THE CANARY DIED

Consumer advocates say this: Anybody who thinks media consolidation is good for the country should take a look at what happened to radio after its ownership rules were relaxed in 1996. Radio was the “canary in the mine,” as FCC commissioner Jonathan Adelstein puts it. Radio was deregulated and the canary died. In 1996 and 1997, 4,407 of the nation’s 11,000 commercial radio stations changed hands. Even Chairman Michael Powell has declared himself “troubled” by the egregious radio concentration.


Two companies, Clear Channel Communications, Inc. and Viacom, now attract 42 percent of radio listeners and industry revenue. L. Lowry Mays, the San Antonio-based billionaire founder of Clear Channel, owned thirty-six stations before deregulation and now has 1,225 in fifty states. In a decade, the company’s revenue has gone from $74 million to about $8 billion. In its search for efficiencies, Clear Channel has perfected what’s called “voice tracking,” a deceptive technique in which centrally produced programming — containing local allusions — is beamed to the company’s stations, letting listeners believe that the content is all locally originated. “It’s cookie-cutter cacophony from corporate masters a continent away,” says William O’Shaughnessy, president of Whitney Radio, a two-station group in Westchester County, New York. He regrets that so many local and regional radio stations — which formerly covered the news of their communities — have sold out to the chains. In the end, he says, “greed may finish us all.”


Local news is, in fact, one of the saddest casualties of deregulation. In 1982, 98 percent of U.S. radio stations had news operations. Now only 67 percent do, and half of the 12,000 radio news staffers are part-timers. Radio news directors are an endangered species. For such reasons, Senator Russell D. Feingold, Democrat of Wisconsin, announced in January that he’ll introduce legislation to limit further consolidation of the radio industry. — N.H.

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MAY/JUNE 2003
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