Viacom/Clear Channel post $Billions in write-downs. Who killed the radio star? Weigh in!

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Viacom and Clear Channel, two of the biggest radio station group owners announced yesterday/today charges of $18.4 billion and $4.9 billion, respectively, reflecting the decline in the value of their radio operations. This is a non-cash accounting charge required by FASB 142 explained here and here.

The articles suggest that the radio industry is suffering from competition from Internet and loses listeners to rival satellite radio services and digital music players such as Apple Computer Inc.'s iPod. Does this explain the whole story or can you get on my bandwagon, i.e., the very nature of Clear Channel’s success, growing from 24 radio stations to over 1,200 since 1993, may have hurt the company and the industry. Consolidation of ownership, management, and programming has undoubtedly led to duller radio. Boring stations fight harder for scarce ad dollars. The cycle repeats .???

First video killed the radio star. Now what do you think is killing it? Or, alternatively, do you think radio is thriving. Please advise.

EComplex (EComplex), Friday, 25 February 2005 18:19 (twenty-one years ago)

To (mis)quote Mo Tucker: "Who the fuck listens to that crap???"

The Argunaut (sexyDancer), Friday, 25 February 2005 18:26 (twenty-one years ago)

Maybe nationally homogenised radio wasn't such a good idea?

Ed (dali), Friday, 25 February 2005 18:27 (twenty-one years ago)

Maybe nationally homogenised radio wasn't such a good idea?
Apparently not, and now the numbers support the obvious truth.

To (mis)quote Mo Tucker: "Who the fuck listens to that crap???"
Well, tens of millions of people did although millions fewer do now, hence collapsing values. I know the arcane tastes of this board tend to avoid much of what's played on Clear Channel and Infinity stations--but the business of music and of radio affects everybody. We seem to be at an interesting place in history, or the history of media, anyway. That's all I'm saying.

EComplex (EComplex), Saturday, 26 February 2005 03:53 (twenty-one years ago)


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