High-def, satellite radio set for battle of the airwaves

By Dick Kreck
Denver Post Staff Columnist

03/14/2006

http://www.denverpost.com/entertainment/ci_3598466


Pay me now or pay me later.

High-definition radio, with its clear signal and its promise of more 
stations, is the sound of the future for our ears. Well, it is if (a) you 
can afford a receiver and (b) more stations jump on the bandwagon.

Without getting lost in the technology - I can barely change stations - HD 
Radio was developed in the 1990s by iBiquity Digital, the sole licensee of 
the system in the United States. HDR's supporters promise it will make FM 
sound like a CD and AM sound like FM.

Pops, clicks and "multicast," signals bouncing off the mountains, will be 
gone, replaced by almost-perfect reception and second channels at most 
stations, to do with what they will. Oldies on one channel, for example, 
comedy on another.

Twelve leading radio companies, including Clear Channel and CBS Radio, 
recently formed the HD Digital Radio Alliance to encourage stations to 
convert to HDR and prevent broadcasters jumping each other's formats.

The industry for a time ignored the new technology, reluctant to be in 
competition with their own product. Then two trends caught their eye.

"The message is, we're losing listeners," said Carlos Lando, program 
director at public radio station KUVO 89.3-FM, which in August 2004 became 
the first Colorado station to switch to high definition. "People aren't 
listening for quite as long. The kids have been abandoning ship for a while."

But what really made station owners sit up is the growing threat of 
satellite radio, a commercial-free product offering more than 100 channels 
covering everything from Howard Stern to opera. "For the longest time we 
sat back as an industry and let satellite market itself," said Don Howe of 
CBS Radio Denver.

The upside: Satellite costs $12.99 a month while HD Radio will be free for 
at least the next two years. The downside for would-be HDR consumers is the 
cost of a receiver. Car models start at about $300 and table-top models can 
cost $2,000. In addition, only about 700 of the 12,000 commercial U.S. 
stations have converted to HD. In Colorado, 47 are licensed but only 30 
have made the switch.

Quotable: "In a market the size of Denver there could be 100 stations." Don 
Howe


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