More Radio Industry Market-Maneuvering Afoot

Although iHeartMedia’s dance with bankruptcy is widely seen as a key indicator of the health of the radio industry more broadly, that company is not alone in reconfiguring its approach to finance capital. Two other conglomerates are also making moves — one trying to leave the stock-trade behind while another wants to jump back into those waters.

First up is Emmis Communications: the Indianapolis-based company has been hammered in the stock market over the last few years, threatened with delisting by NASDAQ after its stock dropped below $1 per share in 2015. After conducting a reverse-stock split earlier this year (reducing the number of shares in circulation, thereby inflating the price of remaining shares) which brought the company back into compliance, company founder and CEO Jeff Smulyan has announced a $46 million bid to take the company private. Read More

Radio Stocks on the Dollar Menu

Many industry-watchers have been fixated on the travails of Cumulus Media, which ousted its founding family earlier this year and replaced them with new management backed by the private-capital firms that now control the company. It hasn’t yet resulted in a massive turnaround for Cumulus stock, which is up about ten cents or so from its lowest low earlier this fall. Still, that values the country’s second largest radio conglomerate at a paltry $82 million and change — you can now pick up a few shares of Cumulus for a dollar and still have change left over for a gumball.

But Cumulus is not the only company now trading under a buck. There’s also Emmis Communications — the primary driver behind the NextRadio application and a major innovator in the HD Radio space — whose shares are now trading at just 62 cents, triggering a delisting warning from NASDAQ. Just three months ago, Emmis stock was worth $1.42 per share; a decade ago, the stock was worth 100 times more than it is today. Read More

NextRadio Cuts Costs to Spur Adoption

It’s been a good year for NextRadio. The Emmis-developed smartphone application that enables FM listening on compatible devices is making great headway with wireless carriers. After paying Sprint to become the first-adopter, well-coordinated lobbying and social media campaigns this summer convinced T-Mobile and AT&T to request that the device manufacturers they work with enable FM reception. (Verizon remains a holdout, but that campaign continues).

With the consumer-side adoptive trend gaining momentum, efforts are now afoot to bring more broadcasters into the NextRadio fold. The back-end system that broadcast stations interface with is called TagStation; it maintains the NextRadio directory, provides all images and supplementary content to the audio broadcast, and manages the in-app advertising experience. Stations can sign up with TagStation for free, which means they’ll be listed in the NextRadio app and can display their logo to users. Read More

NextRadio Reaches Carrier Milestone

The radio industry’s efforts to carve out space for itself on mobile phones took some big strides foward this summer. In late July, AT&T announced that it would seek to enable FM reception capability in the Android devices it offers. This month, after a NextRadio-led Twitterstorm, T-Mobile declared it would do the same.

This is an important milestone for the NextRadio effort: three of the four major wireless providers in the United States have embraced the notion that terrestrial radio should be part of the media mix on mobile platforms. It will be interesting to see how long Verizon, the #1 carrier in the country, decides to hold out on offering FM radio as a feature in its phones. That it took until 2015 for this to happen is testament to the gatekeeping-power of the wireless oligopoly in the United States. Read More

Still Waiting for the HD Payday

There’s been a slew of news about HD Radio uptake, but as usual, not a lot of meat on the bones. Rather, it’s the continuation of a yearly practice of demonstrating signs of life. These are designed not so much for the radio industry or listening public as much as they are for investors waiting to see a return for subsidizing the system’s development and promotion. 15 years on from the founding of iBiquity Digital Corporation, they’re still waiting.

The most notable announcement is the (re)launch of an advertising camapaign to agitate listener interest in radio-via-smartphones. It’s based primarily around NextRadio, the Emmis-developed FM receiver application available on select Android devices. Until last month, the “Free Radio on My Phone” campaign generally advocated the benefits of having an FM chip enabled on mobile devices, but the new iteration directly promotes NextRadio itself, according to the campaign materials available online. Read More