THE BIG REVIEW – Part 2
Greg Diamond
I asked many ByrnesMedia clients and others from both the radio and music industries what they thought should be included in the review. The responses were, as expected, varied and quite interesting. Here then, in no particular order, is what some of you had to say.
- Satellite radio and its low or nonexistent Canadian content vs. conventional broadcaster’s 35%. Let’s get a level playing field.
- Make sure the satellite guys don't come back in one or two years and want commercials.
- Continue monitoring low power licencees who come back to the CRTC after 12 to 24 months wanting a power increase.
- I truly hope that the CRTC looks at the archaic way they regulate our industry - as if Canada were an isolated community. A huge percentage of Canadians either live on the border, or have access to US signals through other means. So why the Cancon regulations? Why 35%? Doesn't Cancon need to be brought into the 21st century by revising the standards to include performers like Bryan Adams, Neil Young, Shania, etc. and lowering the magic number to something more realistic - say 25%?
- What we don’t need is a marginal increase in the amount of Canadian Content. We need a better defined, incentive-based system to promote the growth of new Canadian artists. It's in all of our best interests, and we can do it! It's ludicrous that Lenny Kravitz can qualify for Cancon and Bryan Adams can not.
- Radio wants stars and (the music industry) wants stars. Lenny Kravitz qualifying for Cancon does not help.
- Cancon needs to be reworked to reward stations that are playing new Canadian songs, and give incentives to other stations to do more of the same.
- Is Cancon really the sacred cow it once was?
- The 40-year old view of information, particularly news, which needs to be overhauled to be relevant today, especially to the under-30 demo. Gretzky is not sports and what J-Lo says is more than entertainment to the younger demo - it's all news to them! Unless the CRTC really attacks their 40+ view of the world we are destined for built-in obsolescence (similar to the buggy-whip manufacturers at the turn of the 1900's!). We are all aware that the under-30 demo is beginning to view radio like the newspapers - irrelevant - and the CRTC must take the lead in helping radio to repatriate that generation, and the ones to follow.
- Is the CRTC really ready to lead an overhaul of the terrestrial broadcasting system?
- Can the CRTC forget Eureka 147 and accept that the US will push us to IBOC digital technology?
- We need a better system to accomplish the collective goals of the stake-holders - broadcasters and artists.
These are all valid thoughts and objectives and a sincere thanks to everyone who responded.
In Part 1, Chris mentioned how most people in radio are viewing the upcoming review with a very cynical outlook. I suppose they can’t be blamed given the Commission’s track record in such undertakings. To be fair, the CRTC has answered the call from our industry over the years on such issues as FM “enrichment” (anyone remember the dreaded “Mosaic?”) and partial relaxation of ownership levels. To be equally fair, the first came into being at a time when the industry was in very poor financial straits, particularly at the medium and small market level. Broadcasters paid a price because the end to those regulations came with a Cancon increase to its present day 35%. Such “saw-offs” are normal practice given the Commission’s need to please numerous interested and often polarized parties.
That, in my mind, is the real concern – what are we really looking for right now as an industry and what will we be forced to accept in order to get it? This was the reasoning behind the CAB’s initial request to delay the process for a couple years. They wanted to gain a better understanding of the impact of satellite and Internet radio, a possible renewed interest in DAB, and the emerging multitude of other digital “gadgets” all professing to be the next “radio killer.” I felt then and still do, that this was the prudent approach, however, the CRTC, as we know, decided to forge ahead, thus impairing radio’s ability to seek assistance in areas where it may be needed instead of just wanted. By the way, my head still shakes over the CAB’s statement congratulating the Commission on its decision not to postpone things. Pardon my own cynicism… and digression.
As it stands, there are many worthwhile, but relatively smaller objectives that radio will bring before the Commission. It’s the lack of a truly meaningful issue coupled with the prospect that a really big problem may arise in a year or so that has me concerned. While this may sound somewhat alarmist, I suggest spending 5 minutes thumbing through a “geek” (I use that term with utmost respect) magazine and you will get a sense of just how fast and far ahead of most everyone’s “curve” technology advances. The following article is another, fairly typical example of what radio will be dealing with in the coming years. This, by the way, would be considered a BIG issue!
Chicago: First City to Turn Off All Radio Stations!
Tod Maffin – I Love Radio
February 20, 2006
While that headline might be a bit premature, I'll bet you $10 that ten years from now, we'll look back and think that moves like Chicago are about to make were the precursor to the decline in terrestrial radio listening.
Chicago will soon offer wireless broadband city-wide — extending its existing wireless blanket to all 228 square miles. The city plans to ask technology companies this spring to submit proposals for the project.
And for how much? Well, while the city didn't say how much they plan to charge, in Philadelphia, EarthLink Inc. is building a citywide network that will charge a wholesale rate of $9 a month to Internet service providers that would then resell access to the public at an undetermined price.
In other words, cheap broadband Internet access.
Hell, I pay $10 per hour at airports.
So where’s the radio connection? Think about it. When you've got a WiFi device in your car or that you can carry about that accesses streaming audio rather than spectrum on the AM/FM band, you can now listen to “radio” from all over the world.
Crazy world.
Anyone with even a passing knowledge of broadband, wireless technology will realize the author’s prediction is not far-fetched. However, it has always been my contention that radio can defend against this and most other potential threats by being more local. We must truly embrace this fundamental benefit of terrestrial radio. We will have to deal with many such technologies in the future so, if you aren’t speaking to your listener in a manner that has relevance in the here and now, call us and we’ll help.
My single request for this review would be to further streamline the Commission to better keep pace with the growing challenges to our industry. The people at the forefront of this “revolution” are forward-thinking and agile. If the CRTC is to remain relevant in this new “crazy world,” it will have to be the same… or just go away and let us deal with this stuff ourselves.
Oh wait, if that happens there’ll be no one to tell us we have to play 40% Cancon… oops, there’s that cynicism again.
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