Effects of Local-Market Radio Ownership Concentration on Radio Localism, the Public Interest, and Listener Opinions and Use of Local Radio

Abstract

The Telecommunications Act of 1996 and ensuing radio ownership consolidation are blamed for harming radio localism and the public interest. Prior studies examined impacts attributed to consolidation on format diversity and other measures; however, none explored influences on listener perceptions. The present research sought to determine effects of local-market ownership concentration on listener opinions and use of radio-potentially indicative of stations' localism and public service-by surveying listeners in markets categorized by ownership concentration levels. Findings suggest concentration does not strongly influence perceptions; however, overall results indicate potentially negative consequences from local and national consolidation on amounts of local music, news, and public-service programming; live-local programming; and station responsiveness. Findings suggest policy change that could enhance radio localism.

The Global AM Radio Conundrum: Examining Media Managers, New FCC Rules, and Where the Digital Future May Lead

“…Among younger radio listener rankings, the preference of digital radio listening over terrestrial signal listening is extensive. Digital radio listening, now the most preferred method by younger radio listeners, ranks "iPod use" second and over-the-air radio signals third [12]. This is consistent with FCC findings indicating only 4% of young people ever go to the terrestrial AM dial itself.…”

"Hello, is There Anybody Who Reads Me?" Radio Programs and Popular Facebook Posts

“…In this respect, the Internet complements and even replaces FM transmissions [9] [21]. For example, in younger radio listener rankings, the preference of digital radio listening over terrestrial signal listening is significant: Digital radio listening is the most preferred method by younger radio listeners, "iPod use" is ranked second, and over-the air radio signals third [25]. This is in line with younger generations, who tend to be more active in digital media and on social networks, to the point of addiction, with a constant need to connect to technology [26].…”

Evaluating Local News on the Radio

“…But many scholars argued that the radio stations’ capability to inform the public about local matters would be challenged by business consolidation (Crider, 2012; Huntemann, 1999; Saffran, 2011). Since the 1996 Telecommunications Act, the U.S. commercial radio industry consolidated, and researchers subsequently found that news content became influenced more and more by business interests as media outlets were acquired by corporations with multiple financial concerns (Herman & McChesney, 1997, p. 4).…”

“…The industry saw “unprecedented merger activity” in a short period of time during these changes (Huntemann, 1999, p. 390), and subsequent cuts in staff and budgets aimed to take advantage of efficiencies of scale and converged market share. Many studies have found evidence that these kinds of changes result in fewer resources allocated to produce local news on the radio, which reduces the diversity of content and threatens access to public interest information (Crider, 2012; Hood, 2007; Huntemann, 1999; Saffran, 2011). One example of a big player involved in massive consolidations is iHeartCommunications Inc., formerly Clear Channel Communications, which owns over 850 AM/FM stations across the country.…”