Tag Archives: Scott Shannon

AM Radio in Retreat

While the National Association of Broadcasters (NAB) is still pursuing its goal of getting Congress to pass the “AM Radio in Every Vehicle Act*,” the number of AM radio stations on-the-air continues to shrink.

How Many Radio Stations Are There?

Inside Radio published the latest FCC radio station count and the number of AM radio stations on-the-air continues to shrink.

In 1968, I passed my 3rd Class Radiotelephone FCC License, Broadcast endorsed, it was also the year that the Federal Communications Commission (FCC) began publishing its Broadcast Station Totals reports.

At that time the FCC said that 4,236 AM radio stations and 2,306 FM radio stations were on the air.

In December 1990, the next report the FCC published became available showing 4,987 AM radio stations and 5,832 full power FM radio stations were now on the air; plus, another 1,866 FM translator/boosters.

It’s worthy to note that the general public cannot tell the difference between a:

  • Full power FM
  • FM booster
  • FM translator signal

as to the FM listener they all are received on a standard AM/FM receiver. Only broadcasters, broadcast engineers and the FCC are concerned about such distinctions.

So, in just the first two decades of my radio career, FM signals outnumbered AM signals by 2,711.

Telecommunications Act of 1996

On February 8, 1996, President William Jefferson Clinton signed into law what is commonly referred to as “The Telcom Act of 96.” The intent of the legislation was to allow more companies to operate in the communications space, but what actually happened was a flurry of mergers and acquisitions as corporate media giants bought out small, local broadcasters.

The FCC reported that as of February 29, 1996 there were:

  • 4,906 AM stations
  • 7,151 FM stations
  • 2,527 FM translators/boosters on-the-air

almost two FM signals beating the airwaves to every AM signal.

A year after the Telcom Act of 96, the number of AM signals began its decline to:

  • 4,840 (a loss of 66 AM signals in one year)
  • full power FM signals increased to 7,295 (up 144 FM signals)
  • FM translator/booster signals grew to 2,744 (up 217 FM signals)

While AM radio signals were signing off, FM radio signals were growing by an additional 361.

Ten Years After Passage of the Telcom Act of 96

On March 31, 2006, ten years after the Telcom Act became law, and the consolidation of the radio industry began, the FCC Broadcast Station Totals report listed:

  • 4,759 AM signals
  • 8,989 full power FM signals
  • 4,049 FM translator/booster signals

and now something new began appearing, Low Power FM signals (LPFM) which numbered 712,  meaning the radio listening consumer could now access 13,750 FM signals versus 4,759 AM signals.

Wall Street investors were clearly showing more interest in FM signals than AM signals as their money poured into the radio industry.

Twenty Years After Passage of the Telcom Act of 96

Twenty years after President Clinton signed the Telcom Act and consolidation continued squeezing out the mom and pop broadcasters, the FCC Broadcast Station Totals report listed:

  • 4,680 AM signals (down 307 signals from the day I began my broadcast career)
  • 10,811 full power FM signals
  • 6,582 FM translator/booster signals
  • 1,516 LPFM signals

AM signals totaled 4,680 and FM signals totaled 18,908.

Radio Broadcast Signals 2024

Which brings us to the present day report, March 31, 2024. The FCC Broadcast Station Totals report now lists:

  • 4,427 AM signals
  • 10,983 full power FM signals
  • 8,913 FM translator/booster signals
  • 1,960 LPFM signals

Remember, the radio listening public DOES NOT distinguish between the different classifications of FM signals, as they all appear on the same FM radio receiver they are using.

To the radio listener, they have

4,427 AM signals compared to 21,856 FM signals

they can access. Almost 5 times as many FM signals as AM signals, and each year we witness those AM signals either reducing their power or just signing off-the-air and turning in their FCC broadcast license.

Radio Dominates in Vehicles

The latest research from Quu ( www.quureport.com ) shows that in 2023 model vehicles:

  • 100% of them have an FM radio
  • 98% of them have an AM radio
  • 98% of them have Android Audio
  • 98% of them have Apple CarPlay
  • 92% have SiriusXM
  • 70% have HD Radio

What surprised me about this research report, was that this was the first time I’ve ever seen separate AM and FM numbers listed. All reporting about radio usage should list AM and FM listening separately. I feel it is disingenuous to give the false impression that AM and FM broadcast signals contribute equally when that’s clearly NOT the case.

Having access to an audio service does not equate to usage.

Fred Jacobs in his TechSurvey 2023 for example, revealed how HD Radio was only listened to by 16% and SiriusXM was only listened to by 28%, which shows that despite their high availability numbers in vehicle dashboards, usage is still low. Unfortunately, AM/FM is never broken apart, but listed together so can they can garner 86% of the listening.

I’m thinking that both HD radio and SiriusXM usage might eclipse AM radio listening, if we were allowed to see AM and FM usage shown separately.

Vehicles On The Road in America Today

According to S&P Global Mobility, there are 284 million vehicles on our roadways and the average age of them continues to rise to a new record of 12.5 years. About 23% of all passenger cars now are 20 years or older with the bulk of them made between 2015 and 2019.

By 2050, when electric vehicles are projected to make up 60% of new sales, the majority of vehicles on America’s highways will still be powered by gasoline, because most vehicles today last twenty years meaning AM radio will still be in most cars, but the bigger question is how many AM radio stations will still be on-the-air.

Radio Needs To Look Forward

In ten to twenty years, AM radio will be at best a niche way to listen to audio.

Where the radio industry and the National Association of Broadcasters should be focusing their time is keeping FM radio viable, in all vehicles and FREE!

Sadly, the FM band is becoming overcrowded with signals and this, I believe, needs to be seriously addressed.

Finally, I would like to believe, as does Scott Shannon, that radio can still succeed in the 21st Century if it will just be “authentic, local, magical, and deliver an audio product with passion.” Or as radio programming consultant and author Valerie Geller puts it:

Great radio is interesting people communicating with listeners

by telling the truth, making it matter and never being boring.

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“We Never Called It Content” EXTRA

1My latest blog post has gone viral.  Plus it’s been picked up and re-published by the radio trades, other blogs and today I just finished appearing on a podcast – along with Colin Cowherd – talking RADIO.

The podcast ends with a really interesting segment on why broadcasters use funny voices. It’s FABULOUS!

You can hear this podcast here:  https://soundcloud.com/radio-stuff-podcast/radio-stuff-113

You can read the blog post that started it all here:  https://dicktaylorblog.com/2015/09/06/we-never-called-it-content/

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A War on Talent

When iHeartMedia wooed away Kurt Alexander aka “Big Boy” from Emmis’ Power106 to their Real92.3 it was a big deal in more ways than one.

The top performing radio station for Emmis was their one station in Los Angeles, KPWR. That is until Alexander departed for KRRL-FM across the street. His leaving impacts both ratings and revenue.

It reminds me of the walking across the street of Scott Shannon in New York City. Shannon left WPLJ where he had been a morning fixture at the station for 23 years to take over mornings at WCBS-FM. Unlike Alexander in LA, Shannon didn’t go head-to-head with his former radio station but to a different format than the one he had just left. However his impact on both stations is much the same. WPLJ went down and WCBS-FM captured the #1 position beating WLTW for the first time.

At a time when the major radio companies are saying things like “flat is the new up” the only way for a company to grow its revenues when the revenue pie isn’t growing is to re-divide how the existing pie is being cut up. To do that means to raid another company’s talent in an effort to increase their ratings while decreasing market competition.

If we look at how talent gets created we find it’s not a quick process. In the case of Alexander, Emmis spent 20 years and millions of dollars turning him into a morning radio star. Shannon has been at the radio game since his army days, tenaciously practicing his craft to become the hall of fame legend he is today.

Radio is not about transmitters, buildings, music etc. it’s about people. People make the radio business fun; personalities behind the microphone and personalities on the street selling the ads. Strong personalities on both sides of the mic are what make for a winning radio station. Neither can be taken for granted.

Emmis didn’t think they were taking Alexander for granted. Heck they were paying this former body guard $1.45 million along with some sweeteners, but iHeartMedia was willing to up the ante to $3.5 million (which Emmis reportedly was willing to match). But what evidently Emmis couldn’t match were the other perks that a company the size of iHeartMedia could create that a company the size of Emmis could not.

The BBC has also been subjected to a talent raid. Apple enticed presenter Zane Lowe to join their iTunes Radio division which led to several more following Lowe to the Cupertino based company. The BBC has a worldwide reputation for great programming, programming talent and the discovery of new music.

The audio entertainment world is like the animal kingdom where the small animals get eaten by the bigger animals in the food chain of life.

Competition for talent that has proven it draws a big audience, not just on-the-air but also online and through social media has never been more sought after. Competition for talent that can package, present and close advertising sales also has never been in more demand.

It’s a war on talent. Good for talent, but an Excedrin headache for small operators battling the big boys; made all the more difficult in a lackluster advertising environment for many radio operators and an ever increasing amount of radio signals vying for that shrinking advertising pie.

The radio dial – including online streamers – may have become infinite, but the revenues that support it have not.

Radio Darwinism has escalated to the global village.

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