Satellite radio.
Out of context: Reply #8
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- sparker0
i doubt satalite radio will ever replace terrestrial radio. [again] it could just be because i work in radio that i think this, but it won't happen.
besides, satalite radio is doomed to follow the same path as dot-com's. right now, satalite radio is spending huge amounts of cash it doesn't really have on these shows that people have already predicted won't gain the listenership the require to be truely successfull, much less kill real radio.
there is no sales in satalite radio, which is where radio markets make their money. right now satalite radio is living off investment cash. subscriptions only account for a few percent of their cash flow; meaning NOT revenue or profit.
it's not a sustainable business model. satalite will never garner enough subscribers to a) make a profit, or b) kill radio.
while advertisements are annoying (and always idiotic, imo), terrestrial radio is still free. and, satalite doesn't really play that different of a selection - maybe a few channels have 'special' formats, but it will become more like real radio in the end.
plus, the cost of satalite operations is astronimical - you know how much it is to put a single bird (satalite) in the air? much much more than it cost to buy howard stern.
it's laughable to think that satalite will kill off terrestrial radio.
the big fear, and someone mentioned it earlier is internet radio and streaming media boxes. in st. louis there is a station (93.3 fm) which is a server that streams digital music to a transmitter all day. they play punk, indie, rock, hip-hop, etc (also a lot of unknown music). there is no sales, no staff, no employees, it's owned by a husband and wife engineer/radio team. just a server, some old radio equipment and a license. best station i've heard in a long time.
the threat to radio is convergence. radio on your ipod. radio in your home through your tv-computer-toaster-dvd player-server-etc.
of course, then again, i work for an evil radio/broadcast corporation...it's all just relative.
:)