For better or worse, satellite sounds flow north
American channels dominate lineups Canadian artists eye wider audience

Dec. 1, 2005. 01:00 AM

GREG QUILL
TORONTO STAR ENTERTAINMENT COLUMNIST

http://www.thestar.com/NASApp/cs/ContentServer?pagename=thestar/Layout/Article_Type1&c=Article&cid=1133262801048&call_pageid=968867505381&col=969048872038


"Satellite radio is where broadcasting is headed," says Vancouver-based 
blues man Harry Manx over his car phone on the outskirts of New York City.

"If you're an independent artist like me, you'll find an audience there 
that you'll never get on regular radio in North America. Satellite 
broadcasting is the future of radio — there's so much more choice, no 
commercials, and a strong, clear signal, particularly now that they're 
building receivers into cars right on the production line."

Manx is one of hundreds of Canadian musicians whose careers have expanded 
exponentially thanks to American satellite radio systems: Sirius Radio, 
based in New York, and XM Radio, based in Washington, D.C. In addition to 
airplay he would never get on conventional radio, Manx was recently heard 
live in concert on XM, an event that changed his life in both subtle and 
profound ways.

"I met the curator of the Rock and Roll Hall of Fame in Cincinnati, and he 
told me he was a huge fan because he'd heard me on satellite radio," says 
Manx. "That's a big deal for an under-the-radar Canadian artist — just the 
fact that he knew my name.

"At the Chicago Blues Festival this year, people from the west coast (of 
America) came to see me play because they'd picked me up on satellite radio 
— so the exposure translates into more fans, more record sales and more gigs."

That's the theory, anyway. And thanks to a huge national lobby mounted by 
independent Canadian musicians, songwriters and other artists who, like 
Manx, are shut out of Canadian commercial radio's stringent formats, that 
pitch has apparently won the game. Subscription-based, digital satellite 
radio is now with us.

Two competing operations — Sirius Radio Canada (jointly owned by 
Toronto-based Standard Radio, CBC, and Sirius Radio U.S.) and Canadian 
Satellite Radio (currently owned by flamboyant Toronto businessman John 
Bitove, pending the outcome of a recently issued IPO, and XM Radio U.S.) — 
are up and running, just in time for the Christmas rush.

There have been long and bitter squabbles over the perils of foreign 
co-ownership of Canadian broadcasting enterprises, regulatory issues 
(critics say satellite radio will have a freer rein with programming than 
commercial radio), and the possibility that Canada's fragile broadcasting 
infrastructure cannot withstand the dumping of what amounts to a tsunami of 
American programming via satellite.

But the federal broadcast regulator seems convinced the new broadcasting 
phenomenon will be good for Canadian music, good for the Canadian radio 
business, and good for those listeners who are willing to pay between 
$12.99 and $14.99 a month. This is in addition to the price of a 
pocket-sized digital receiver and antenna package — between $80 and $400, 
depending on the degree of portability and extra bells and whistles.

Although the CRTC thinks it has stabilized the playing field by insisting 
Sirius Canada and CSR/XM offer a minimum of 10 per cent home-grown content 
on their channel options, as well as 85 per cent Canadian content 
emphasizing emerging talent on their Canadian music channels, the two 
services have paid only lip service to music.

On the Canadian channels, located at the far north end of the Sirius and XM 
dials, the primary load is sports, news and current affairs. Sirius Canada 
will carry four Canadian music channels two in English), while CSR/XM will 
carry three (one in English).

A few subscribers may be willing to part with $13 or $15 a month for 
Canadian sports and news. But no one's going to part with that kind of 
money for a very thin slice of ghettoized, unknown Canadian music.

The independent music lobby that supported these applications is reeling 
with shock.

It's still early, of course. Managers of both services say they'll expand 
their Canadian content as subscription bases grow.

But there's no denying satellite radio offers listening choices that far 
exceed those available on commercial Canadian radio — about 60 finely 
programmed music channels in each bundle, with playlists literally 100 
times deeper than those of regular radio formats, and 40 or more channels 
devoted to sports, comedy, news, talk, international public broadcasting 
services and current affairs. All of them without commercials — so far — 
and half of them without annoying jocks disturbing the flow. In crisp, 
digital stereo.

If that sounds like too much radio, it probably is. In reality, subscribers 
will pre-set a maximum of five preferences out of the 100 available, and 
flip regularly between them. The rest are ignored or sampled now and then.

The implications for conventional radio are hard to predict, and may have 
been overstated by CHUM Limited and other independent broadcasters in a 
vain appeal to Cabinet against the CRTC decision to license satellite radio 
in this country.

The two systems aren't mutually exclusive. Toronto radio veteran Bob 
Mackowycz, one of the architects of the CSR/XM bid, says "commercial radio 
will certainly have to reinforce its local content and character in the 
future — with `neighbourhood' music programming, personalities, current 
affairs, culture and news — something nationally programmed services can't do."

But will radio-on-demand ruin Canadian radio as we know it?

That hasn't happened in the U.S., where XM and Sirius have been operating 
for six years, and boast 10 million subscribers between them, says Mackowycz.

Even so, no one in the broadcasting business missed the note of warning in 
the words of Gary Slaight, Standard Radio president and now co-owner of 
Sirius Canada, when the bid for satellite radio licences was launched two 
years ago: "I'd rather eat myself than watch someone else eat me."


================================
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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