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The Media United States Entertainment

ClearChannel Complains About XM, Sirius Radio 344

andyring writes "In the latest attempt by a big corporation with a failing business model to win by legislation and not in the marketplace, ClearChannel is whining to the FCC about XM Radio's recent foray into localized traffic and weather reports." Here I was thinking that satellite radio was a good thing for competition in radio.
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ClearChannel Complains About XM, Sirius Radio

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  • Howard Stern (Score:3, Interesting)

    by Quill345 ( 769162 ) on Saturday April 17, 2004 @10:01AM (#8891141)
    Is XM regulated by the FCC? Could they carry Howard Stern? That'd be a great way to sock it to ClearChannel.
  • by Audguy ( 736134 ) on Saturday April 17, 2004 @10:06AM (#8891165) Homepage
    There is no chance of them ever competing with XM, because their traffic and weather is so much better, and without commercials, since I got mine, I haven't even once turned on my car radio since. So yes I think that ClearChannel DOES have something to worry about.
  • according to http://www.stereophile.com/news/032904news/ [stereophile.com] and many other news article that can be searched on google news, clear channel has part ownership of XM radio, so why is clear channel trying to stop XM radio? clearly, if XM radio prospers, then so does clear channel.

    "Other major XM shareholders include radio giant Clear Channel Communications, Inc."
  • In the UK (Score:4, Interesting)

    by lxt ( 724570 ) on Saturday April 17, 2004 @10:09AM (#8891179) Journal
    ...you don't hear commercial radio stations complaining about local BBC (which are commercial free) stations providing local traffic...they still complain in general, but they do have a point (because BBC radio is free to all, even though it's paid for off the TV licence)
  • by gerbache ( 540848 ) on Saturday April 17, 2004 @10:10AM (#8891188)
    The trouble is that XM and Sirius are still monthy fee services, while I can tune in to FM radio stations free over the airwaves. I know a lot of people are into XM radio and all, but personally, I just don't listen to the radio enough to make it worth my while to pay for a service, and I'd say that a lot of other people are like that, as well.

    That being said, I can't see how the competition from them can be a bad thing for anyone but ClearChannel. Plus, if XM is not regulated by the FCC (I don't know this for sure, can anyone verify), we can get around all the censorship BS going on right now with our lovely FCC....
  • by brandonY ( 575282 ) on Saturday April 17, 2004 @10:13AM (#8891198)
    Here in Atlanta, one popular station, 99X, has a recurring advertisement that boasts loudly that they are not in any way owned by Clear Channel. They're doin' darn well.
  • by stull13 ( 693912 ) on Saturday April 17, 2004 @10:18AM (#8891220)

    Many people wondered why Clear Channel was so quick to dump the Stern show in six markets without putting up any kind of a fight.

    While at first they presented themselves as being truly ashamed of the "Indecency" over their airwaves, it seems now that they were supporting the FCC in a very public arena so they could work themselves into a position where they can influence FCC policies. It probably doesn't hurt that they are a huge corporate donor to the Bush campaign.

    On a recent Stern show episode, Howard suggested holding concerts in major Clear Channel markets to combat their growing power. With this latest news we have all the more reason not to support them and their anti-competitive policies.

    For more information go here. [howardstern.com]

  • fair market (Score:1, Interesting)

    by Anonymous Coward on Saturday April 17, 2004 @10:19AM (#8891228)
    What about satellite TV, they are allowed to air local television, why shouldn't satellite radio be allowed to air local reports as well. If all is fair, local radio is not great and in the morning drives is full of boring talk, not much music. Let them air everything. even yes, Howard Stern, after all no censorship on subscription services.
  • by Art Pollard ( 632734 ) on Saturday April 17, 2004 @10:25AM (#8891250)

    I get tired of corporations complaining about new technology. Clearly XM and Sirius are both new technologies and are the wave of the future. Remember when t.v. cable was new and all these same arguements were presented? For ClearChannel to be competitive over the long haul, it needs to get off its rear and create a satelite network of its own or get its shows carried on the various satelite radio providers.

    Passing legislation such as this is stupid to put it bluntly. It will not change anything. If passed, in 10 years, we will be back to hearing the same arguments and eventually, the satelite providers will be providing whatever they choose anyway with or without ClearChannel's participation -- just as cable carries your local t.v. stations. In fact, because of cable the television stations do not spend lots of money putting in new translator stations to obtain expanded signal coverage and instead rely on the satelite or cable providers to carry their local broadcasts.

  • by Anonymous Coward on Saturday April 17, 2004 @10:27AM (#8891261)
    Isn't this suspicious... Clearchannel has Howard Stern on in the morning, and then complains about his indecency to the FCC (not officially, through the court of public opinion).

    Clearchannel owns a big chunk (30%?) of XM, and then complains about XM and Sirius.

    I guess its all coincidence.
  • Re:And to think... (Score:4, Interesting)

    by petabyte ( 238821 ) on Saturday April 17, 2004 @10:36AM (#8891294)
    They're probably anti-free speech only in the sense that they don't want anyone else to dare compete with them. Most large companies should be awarded similar awards for clamping down on freedoms. It makes you wonder about what all of this media consoliation is going to do.

    I agree Ashcroft is a bit crazy with the censorship but one big difference is that Ashcroft can be asked to resign or be voted out of office (hopefully for someone less restrictive). Monopolies with deep pockets will likely be around for a long time ...
  • What CC wants is for the FCC to regulate the content on satellite radio. They threw in XM because it has name recognition, despite their stake in it (which I believe stands around 30%), but what I believe is part of their true objective is FCC regulation, which means they could potentially have a controlling interest, or even flat out own, both major players. Remember, ClearChannel isn't only radio, they have those innumerable billboards on the road, they own a great number (65%-70%+) of concert venues in the U.S.

    For those who have poor opinions of Microsoft's business practices, ClearChannel's doings are roughly similar, except they want to control not just what software you run, but also the computer on which you use said software, where said computer can be used and what the software will stop you from doing if it doesn't think what you're doing with it is decent.
  • a little extra info. (Score:3, Interesting)

    by LabRat007 ( 765435 ) on Saturday April 17, 2004 @10:52AM (#8891381) Homepage
    I have a lot of hate for clearchannel but I dont want to rant all day about it here. You can find some observations about the way they do business here [infoanarchy.org]. Keep in mind its a very opinionated site, but then again you are reading articles at /. so you must be used to that by now.
  • by OS24Ever ( 245667 ) * <trekkie@nomorestars.com> on Saturday April 17, 2004 @10:57AM (#8891402) Homepage Journal
    I'm happily paying $9.95 a month so I don't have to listen to commercials.

    All of XM's music stations have no commercials. While the 'talk' stations do. It's kinda funny the commercials mainly on the XM Talk channels are 'spam' like such as life insurance, weight loss, and tax free living.

  • by nevernet ( 592488 ) on Saturday April 17, 2004 @11:01AM (#8891417)
    Although I've not heard the Clear Channel adverts saying how bad XM is (mainly because I haven't listened to broadcast radio since I have had XM) this stuff about spotty coverage is a joke. I have even gotten reception in an underground parking garage! I can only recall loosing reception one time, for about 2 seconds. I did rent a car which had Sirius and was not nearly as happy with the reception as it did cut out even going under bridges. I am also a bit confused over the advertising against what Clear Channel partially owns..makes no sense. Then again - Clear Channel is the same group that thinks there are only 20 songs worth playing. I think it would be a bit funny for XM to pack up and move overseas. What is the US going to do - shoot down their satellite ushering in a new era of outer space warfare? Not to mention the free speach implications of doing such a thing.
  • This disgusts me (Score:4, Interesting)

    by PeeAitchPee ( 712652 ) on Saturday April 17, 2004 @11:03AM (#8891430)

    This type of blind support of the special interest is What Is Wrong With The System (TM). I have been an XM subscriber for about four months. I signed up just before the local stations had ever been announced, but I can tell you, had I know they were offered, I would have signed up even faster. Last week I drove back down to Florida from Maryland down I-95, and I used their Baltimore, D.C. and Tampa channels to anticipate upcoming weather and traffic conditions. If you're not from the local area, you have no idea what AM / FM stations broadcast what type of content, and even then you have to shit through three to five minutes of mindless advertising (ever notice that the majority of ClearChannel ads hawk the same kind of stuff sold in spam?) before there's even a chance of lucking into a traffic or weather broadcast. The XM local traffic and weather stations are extremely helpful and an absolute blessing to frequent travelers.

    I love XM because it puts choice of content back in the hands of the user. If I want to hear talk radio, I've got 20+ channels any time I want them, right, left or "neutral." If I want to hear just about ANY type of music, from jazz to death metal, it's always on and commercial free, and the quality is way higher than FM.

    Fuck ClearChannel and their shitty ad-supported big media content. I hope they get run out of business, but no doubt their store-bought suckling government officials will shield them from such a fate and punish the sat radio providers accordingly. :(

  • by JasonUCF ( 601670 ) <jason-slashdawt&jnlpro,com> on Saturday April 17, 2004 @11:08AM (#8891463) Homepage
    I know you're just trolling, it's very important to look at numbers because when you evalulate individual markets you find that Clear Channel does not own the "top 5" or "top4" or hell even top 3 stations. If you look at Arbitron rankers for Winter 2004 (latest book), you see it's just not there -- Cox, Ennis, Infinity all have stations and most of them beat CC.
    http://www.radioandrecords.com/Subscribers/ra tings /homepage.htm

    My point is that people keep labelling CC as the one bad mojo when in actuality stuff like this posted story talk about NAB -- the national association of broadcasters -- NOT just CC. It's about keeping an eye on the ball.
  • by WCMI92 ( 592436 ) on Saturday April 17, 2004 @11:22AM (#8891533) Homepage
    " ClearChannel are a failing business?
    Aren't they practically in a monopoly situation and trying to keep it that way?"

    Radio ITSELF is a failing business. Arbitron ratings show that people are listening to it less and less, and that the decline has accelerated since the consolidation after the 1996 telecoms act.

    What CC fears is competition, of course, so they are trying to use the FCC to prevent one.

    I wonder what they think of internet radio, a competitor that is growing faster than satellite...

    I, myself run an internet station, hosted at Live 365, and I do live/local shows in the evening on it. http://cat92fm.com I try to actually appeal to a LOCAL audience with it. Though it's more of a hobby than a serious effort, I do have some listeners, and most of them are local, and they listen during the day because the music I play isn't played by the local CC cluster (they own 9 stations in our small merket)

    I think CC wants to impose something like what is done to cable TV providers: Federally mandated monopoly. With cable or satellite, you are legally stuck with your local stations, you can't choose a different one, and it's illegal for the provider to sell them to you.
  • by niteblade ( 764045 ) on Saturday April 17, 2004 @11:30AM (#8891578)
    This just fits the pattern of what the Bushies love to do - use government institutions to further their own agenda. I find it interesting how many Republicans talk of the evils of 'big government' yet seem to be the first ones to wield it's awesome power to crush those who oppose them. Regarding CC, I have been reading about the Bush connection for a couple years and have personally observed it - here in Phoenix there was a lot of hoopla over CC's yanking a talk show host who frequently criticized Bush - they then replaced him with a couple jokers who act like Bush is the second coming of Christ. An interesting link on the CC Bush connection http://www.buzzflash.com/analysis/03/04/18_clear.h tml
  • by Selecter ( 677480 ) on Saturday April 17, 2004 @11:36AM (#8891610)
    Exactly why is that statement a troll?

    This might get modded as off topic, but I'm gonna do it anyways. People need to understand what a bunch of bastards Clear Channel and the NAB are and some semi related background info on their past behavior might be useful.

    The real travesty in radio is that the only real ownership liberalization in many years was stifled at the request of the NAB and Clear Channel - Low Power FM stations which can be licensed and brought on line at very low cost compared to a "regular" station. This would have allowed normal folk with little capital to began legally broadcasting with decent range and signal - somethingthe NAB and Queer Channel didnt want.

    Becuase of the NAB and Queer Channel the 1000 watt provision of the LPFM proposal was yanked due to what turned out to be a bogus phony "interference" concern that was later DISPROVEN by the the FCC's own hired examiners. The 1000 watt proposal was killed becuase in many cases it would have allowed station ranges to be competitive with their CC corporate owned stations.

    The LPFM proposal if it had been left intact and not gutted by Queer Channel and the NAB lobbyists would have done more to revolutionize radio than satellite radio - becuase there would have been thousands of new voices on the air in every city and town. You bet yer ass they dont want competition from anyone, and most of all form ordinary citizens, to whom the PUBLIC airwaves are SUPPOSED to belong. Of course they are going to whine to the FCC - it's gotten the desired result before for them....

    So of course now the gutted remnants of the LPFM ( cumbersome application process, limited licenses to be issued, only 10 and 100 watt power limits, too low to have any range ) are not having much effect. Geee, wonder why?

    Lets hope the satellite companies fight Clear Channel with everything they have. If this rant was too off topic, sorry, but I gotta get my ya-ya's out sometimes, boss. The way they sliced and diced LPFM really pissed me off royal. Can ya tell? :D

  • by NigelJohnstone ( 242811 ) on Saturday April 17, 2004 @11:37AM (#8891614)
    "Yah, where the shit did that sig come from?"

    I think the Sig was the whole point of his post.
    (18 words in the Sig, only 13 in the post, the Sig WAS the message he's pushing).

    He made a short comment simply repeating the stories angle, followed by a misleading political statement as a sig.

    Do you think he got 5 points for restating the competition angle already mentioned in the original story? Probably not, Bush supporters mod him up to push the sig message.

    From the story:
    "Here I was thinking that satellite radio was a good thing for competition in radio. "

    From his comment:
    "XM and Sirius ARE good for competition, that's why ClearChannel doesn't like them"

    Not insightful.

  • by filekutter ( 617285 ) <filekutter0&lycos,com> on Saturday April 17, 2004 @11:39AM (#8891622) Journal
    I agree completely with you... I refuse to listen to ClearChannel radio at all, and point out that ClearChan has also been behind a lot of public radio stations being taken over and given to the christian networks. We are gradually and systematically, losing our public airwaves. Soon, public and indie radio will be just a chapter in media text-books.
  • Re:Pretty sad (Score:4, Interesting)

    by Guppy06 ( 410832 ) on Saturday April 17, 2004 @12:03PM (#8891721)
    I have, and the true irony of it is that it's a commercial.

    The worst I've heard on Sirius music streams are the DJs talking about what else there is to listen to on other streams, including then the occasional joke about other streams ("This is the hard rock stream! If you want pussy rock, go over to stream 9!"). In general there's nobody there telling me what I like or what I should be listening to, which is all broadcast radio does these days.

    When next you listen to an FM station keep track of how many times they tell you that you're listening to the songs you love (and "none of the songs you don't") or how often they play recordings of other people talking about how great the station is.

    (Hell, I still don't see the point in "HD radio." Why pay for better-sounding car commercials?)

    Personally, I'm happier with the satellite radio philosophy where the paying subscriber is the ultimate arbiter of what they want or do not want to hear. Not the advertisers, not the government, and usually not even the record companies (Sirius is making it much easier for me to find CDs published by non-RIAA members).

    Out of curiousity, is there anybody out there who had been a customer of either XM or Sirus and actually left? Like the commercials put out by the FM/AM broadcasters suggest?
  • by Rex Code ( 712912 ) <rexcode@gmail.com> on Saturday April 17, 2004 @12:34PM (#8891902)
    Really, this seems like a no-brainer to me. When ClearChannel took over most of the stations in the Fargo area, trying to get any kind of news or weather report out of the radio became a lot harder. Perhaps because they pipe these broadcasts all over the state of North Dakota, they don't want to localize them too much or people will "catch on" (like they haven't already).

    Instead of whining to the government about their perceived competition, why don't they start a competing satellite service? They might be forced to learn a thing or two about what the listeners want instead of pushing the same tired station "formats".
  • by LostCluster ( 625375 ) * on Saturday April 17, 2004 @12:39PM (#8891943)
    What has the NAB going crazy is that XM has some land-based repeaters to fill holes in their satellite patern. In order to get those land-based repeaters, XM had to promise that they'd never use them to create local stations by broadcasting different things in different places, they had to relay the whole national signal.

    Now, the "local traffic and weather" channels on XM now are actually national channels. That is to say, you can hear a Boston traffic report in Los Angeles perfectly clear. Not sure why anybody would want to, but it's there if you want it. All of the land-based repeaters are relaying all of the channels, even the ones intended for far-away cities. Therefore, XM is complying with the letter of the agreement just fine.

    However, the NAB is trying to say that these "local" services violate the rules just to make life harder for XM.
  • by danaris ( 525051 ) <danaris@mac . c om> on Saturday April 17, 2004 @12:57PM (#8892056) Homepage

    I don't know a single person who listens to XM radio. I listen to FM (NPR).

    I seriously, seriously doubt that any satellite radio will make serious inroads into ordinary radio listeners, FM or AM, while it costs money. You don't need to pay a cent to listen to FM radio (except the tiny cost of the radio itself). That's a pretty big advantage over XM.

    Also, listening to NPR stations, I don't get commercials (at least, I certainly wouldn't call the regular announcers calmly reading the sponsors' slogans commercials). I'm lucky enough to get 2 NPR stations here: 1 that has news & talk-show-type-stuff all day (Diane Rehm, Talk of the Nation, Day to Day, etc), and one that plays classical music all day. That's all I would ever want from a radio station.

    No satellite radio provider will ever get my business so long as WCNY and WRVO are on the air.

    Dan Aris

  • by BeatlesForum.com ( 545967 ) on Saturday April 17, 2004 @01:10PM (#8892136)
    point out that ClearChan has also been behind a lot of public radio stations being taken over and given to the christian networks

    Really? Given over to Christian networks? That's interesting. Why would CC hand over conquered stations to Christian networks? Can you site a news article or something on this? I'd love to read it.
  • by StevenMaurer ( 115071 ) on Saturday April 17, 2004 @01:53PM (#8892384) Homepage
    Your suspicions are largely correct.

    According to this report [futureofmusic.org] (partly done with the help of Lawrence Lessig), ClearChannel owns 1244 stations and owns 27% of the listenership. They've achieved this largely by playing to the safe music picks in CHR (Contemporary Hit Radio) and other formats, with a focus on crossover music (songs that fit in more than one genre) so they can play the same song on all the different stations they own in the same market.

    Or, to put it a different way, ClearChannel is the "McDonalds" of radio. They find safe bland songs within each genre (mostly about sexual attraction), and serve it up constantly, heavily laden with ads. About a quarter of Americans love this format -- just like some people love McDonalds. And they have parlayed that profitability into such a dominant position in radio that they can use their market power to drive even better deals for themselves from the RIAA and musicians.

    New songs? Forget it. Unless you have already climbed the dial elsewhere or have big money backing you.
  • by sheared ( 21404 ) on Saturday April 17, 2004 @02:17PM (#8892518)
    I'd probably already picked up one of the two services if the pay plan allowed you to purchase a subscription that works on receivers in the car and in the house. Radio is too portable to be tied to a single receiver, and for the monthly fee (plus maybe a dollar for each additional unit), I should be able to listen in the car while my wife listens at home. For now, though, the only way to do that is with two full subscriptions.
  • Comment removed (Score:2, Interesting)

    by account_deleted ( 4530225 ) on Saturday April 17, 2004 @02:23PM (#8892540)
    Comment removed based on user account deletion
  • by iminplaya ( 723125 ) on Saturday April 17, 2004 @02:44PM (#8892645) Journal
    That was what I was thinking. If Clear Channel doesn't like them, they could just buy them out. Everbody has a price, especially in this business. I remember when the gov't was saying that now there is "competition" to network TV, we can lift the ownership restrictions. But nobody ever spelled out that the networks simply bought up a bunch of cable channels(nearly ALL of them). So where's the competition now?? To paraphrase a Discovery network promo. Six channels, six programs, your only option is The Discovery Network. (Emphasis mine) It made me a little ill.
  • Re:And to think... (Score:3, Interesting)

    by SnapShot ( 171582 ) on Saturday April 17, 2004 @04:20PM (#8893376)
    Actually, Clear Channel's complaints don't upset me in the slightest.

    Whether or not they are competitors from the FCC's point of view is a resonable question. FM radio is liscensed in the 88 to 108 Mhz range (so that's what those numbers on the dial stand for, I seriously never knew). Sattelite radio is licensed in the 2.48 to 2.8 Ghz range. (* [jneuhaus.com])

    Sure, from the users point of view they both are just "radio", but Clear Channel is running its radio in the cheap seats under a government sponsered and enforced monopoly. To unregulate Clear Channel just because new technology exists is like saying that we should end highway regulations because airplanes exist.

    Here's another take on it. Cell phones are in the 800 Mhz range. That's between FM and Sattelite radio. Do you want the FCC to try and enforce restrictions on cell phone communication just because Clear Channel fears a competitor 1.6 GHz higher up the spectrum. Imagine the consequences, "I'm sorry Mr. Stern, you have been banned from the use of cellular communication." How would he order hookers from his car. He'd have to stop and use a pay phone.

    Okay, so that is a little off topic, and I realize that your point is that there should be absolutly no regulation. I think, however, the regualation is necessary for a public domain resource (like radio spectrum) but that regulation should take local realities into account. From that point of view, Clear Channel is just turning to the government to try and squelch a competitor.
  • by acroyear ( 5882 ) <jws-slashdot@javaclientcookbook.net> on Saturday April 17, 2004 @10:34PM (#8895104) Homepage Journal
    that about covers it. in college, i gave up on radio when i found that the group Steely Dan could be played on the college station (they were "hip" enough), the oldies station (they were old enough), the pop station (they were pop enough for when the pop station decided to play something old), the classic-rock station, the adult-contemporary mellow-rock station, and finally (believe it or not) the country station when it decided to do crossover tracks.

    add to that the fact that its mellow enough to be grocery-store muzak (the original releases, mind you), and that was it for me.

    steely dan was & is the ultimate in bland music that can fit any "format" somebody decides to proscribe, and i gave up on non-talk radio within a month of making that discovery, 12 years ago.
  • by Anonymous Coward on Sunday April 18, 2004 @11:58AM (#8897328)
    Is it just me, or does Clear Channel own stock in XM? [fool.com] Who knows what will happen in a few years when Satellite Radio becomes the preferred medium for radio. Will Clear Channel try to buy out a portion of stations, and homogenize them the way they have to FM radio? If one of the features of Satellite radio is being able to listen to your station no matter where you are in the continental US, doesn't Clear Channel do that already with voicetracking DJs, syndicated morning shows, and cloned stations all over the country? Yeah, now we can listen to redundant top 40 crapathon KISS-FM no matter where we are in the USA! Who needs satellite!?

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