Satellite radio benefits Quebec, survey says
By JACK KAPICA

Thursday, August 4, 2005 Updated at 11:00 AM EDT

Globe and Mail Update

http://www.globetechnology.com/servlet/story/RTGAM.20050804.gtcrtc0804/BNStory/Technology/


In what seems to be emerging as a public-relations war, Canadian Satellite Radio has posted results of a survey saying that an overwhelming majority of Quebeckers think subscription radio will have a positive impact on the province's culture.

CSR and Sirius Canada were granted licences to operate satellite digital-radio systems in Canada in late July. Yesterday, a coalition of 10 Quebec arts organizations and associations asked the federal government to rescind those licenses, arguing that Quebec will be short-changed with satellite radio.

The Quebec groups argued that the terms under which the Canadian Radio-television and Telecommunications Commission granted the licences conflict with the country's broadcast policy, and that Canada would not have any effective control over the transmitters, which are U.S.-owned satellites. They also say that there is nothing in the licence terms that requires French channels to have music — the licensees could fill up their French-channel quota using only talk.

In rebuttal, CSR's survey stated that nine out of 10 Quebeckers said the proposed satellite radio service would have a positive or neutral affect on French culture in Quebec, and 55 per cent believe satellite radio will have a positive impact.


CSR dismissed the charges Thursday.

"CSR is a Canadian-controlled company," compoany president Stephen Tapp told Globetechnology.com today. "All of our programming decisions are made by CSR. From the content and production of our 100-per-cent originally produced English, French and multilingual channels produced from Toronto and Montreal studios to the selection of what XM channels we carry."

The survey, conducted from July 14 to July 19 by Omnitel Omnibus, was designed to survey Quebec residents to gauge their interest in satellite radio services, assess interest levels in various types of station formats and to understand perceptions of how satellite radio will affect the province's culture.

"A mere 5 per cent of Quebeckers think satellite radio could have a negative affect," André DiCesare, French talent and industry relations for CSR, said in a statement. "CSR is eager to launch our service and bring Quebeckers the French content they are asking for."

The survey shows that 22 per cent of Quebec residents would be interested in subscribing to a Canadian satellite radio service at a cost of $12.99 per month. Also, two-thirds of Quebec respondents agreed that they would like to be able to listen to French radio stations when they travel outside of the province.

While traditional radio stations are struggling to hold on to a younger audience, respondents under age 35 expressed higher levels of interest in satellite radio, the survey said.

Satellite radio applicants have estimated that the service will infuse the Canadian economy with about $2-billion in economic activity over the next decade, including are artists' royalties and development funding, retailer revenue, auto manufacturing, marketing costs, shipping and distribution, production fees, installations, salaries, subscription fees and various government taxes.

CSR has announced plans to invest $35-million throughout its first seven-year licensing term to support the growth of the Canadian music and entertainment industry, reserving 50 per cent for francophone artists, including nearly $7-million to key organizations such as MusicACTION and ADISQ.

Yesterday, ASDIQ president Yves-François Blanchet told Globetechnology.com that "90 per cent of the content will be decided in the United States, but I think it will be 100 per cent. Canadian Satellite Radio and Sirius will make a show of making those decisions, but I just don't believe it."

The CSR-sponsored survey was conducted via telephone using a randomly selected sample of Canadians aged 18 or over. Only the Quebec portion of the sample was asked to respond to custom questions about satellite radio. With a Quebec sample size of 501, the results are considered accurate to within plus or minus 4.38 percentage points, 19 times out of 20.


================================
George Antunes, Political Science Dept
University of Houston; Houston, TX 77204
Voice: 713-743-3923  Fax: 713-743-3927
antunes at uh dot edu


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