Wednesday, April 23, 2008

Radio: Hypocritical Deceiver



I pose this question to the HD Radio Digital Alliance and iBiquity.

Why lie?

Liars lose credibility.

Liars forget what lies they told and to whom.

Even those who want to believe these clowns aren’t.

The only radio industry proponents for HD Radio are those who are getting paid to be through the Alliance and others stuck in a situation where voicing their opinions would cost them their job. And that’s the truth.

Couldn’t you HDiciples at least have the gumption to add the line – We are compensated for our endorsement of HD Radio?

It’s bush league not to.

Ever hear of full disclosure?

Ever hear of a fool on a fool’s errand?

They must’ve enlarged their monthly spif to the Coot. He has more strings being pulled by HD Radio Digital Alliance head Peter “Sgt. Bilk-o” Ferrara than Howdy Doody ever had from Buffalo Bob.

Here’s a guy that turned his alt-rock stations in a format that appeals to only those who can be described as chemical garbage pails. Put it in front of them and they’ll drink it, snort it, shoot it, or smoke it.

Let’s see. The Ford Edsel, New Coke, Blue Pepsi, toothpaste in an aerosol can…and HD Radio. I wouldn’t include the Betamax or 8-tracks. At least some people bought those.

Admit it. You had to love the HD Digital Radio Alliance’s “study” done by the Clear Channel-owned Critical Mass Media (pause for laughter) on the “awareness” and “consumer adoption” of (get this play on words) “the new HD technology.”

Does that mean the lead question was “How familiar are you with the term HD?” Oh, did we negelect to mention the word “radio?”

Minor point.

This one was rolled out just in time for the latest Fumbles Folly – the NAB Show 2008 in Las Vegas.

According to the Critical Mass study (pause for laughter), which was released on April fool’s Day, awareness of HD Radio is at 77 percent among radio listeners.

The HD Radio Alliance compared those results to a study from a year earlier by Mark Kassof and Company, which showed HD radio awareness at 38 percent. So, by combining two divergent research studies, Sgt. Bilk-o’s HD Radio Alliance now claim a product awareness increase at just 39 percent in one year.

Karl Marx once said, “history repeats itself, the first time as a tragedy, the second as a farce.” Ol’ Karl never was right about much – but he was right on with that assessment.

That was enough for the HD Digital Radio Alliance to launch their new promotional tagline "HD: It's Time to Upgrade," (pause for laughter), which shifts their campaign from raising awareness to persuading consumers to buy HD radios. Riiiight!

I paid my eleventh monthly visit to Best Buy and Wal-Mart this past week. They still don’t know what I’m talking about when I ask if they have any HD Radios in stock.

But then along came a research study on HD Radio from the reputable (as opposed to questionable) Edison Media and Arbitron. It found that HD Radio consumer awareness actually dropped from 26 percent to 24 percent! The American Media Services report, which was based on a national telephone survey conducted Edison and Arbitron, revealed that just 35 percent of U.S. adults know of HD Radio while the remaining 65 percent never heard of it.

Do we even have to ask the question about who’s the liar here?

I wonder why no one talked about SESAC’s plans to increase its fees an additional 10% for the HD primary channel, and another extra 10% for the HD-2 channel. For starters, that performance rights organization has Bob Dylan and Neil Diamond amongst its songwriters. If you want to play their music on HD, be prepared to pay the freight.

You have to feel for the small operators that bought into this scheme and paid the exorbitant fees to build digital studios that serve only iBiquity.

Researcher Kurt Hanson, whose RAIN has been critical but patient about HD Radio’s shortcomings, held a summit at the NAB titled, “What to do about HD?”

Edison Media’s Tom Webster moderated. Partaking were Don Kelly, director of broadcast marketing for iBiquity Digital; John Gehron, GM of Oprah Winfrey’s Harpo Radio – and a former broadcast executive with CBS and Clear Channel; Dan Halyburton, who manages Emmis Broadcasting’s New York stations, including the new WRXP; webcaster Rusty Hodge of SomaFM’s Internet stations, some of which provide programming for NPR’s HD Radio stations, and Jeff Vidler, who runs Solutions Research Group of Toronto, and was there to impart the Canadian perspective, which he summed up in four words: “mend it or end it.”

Kelly looked like someone who’s used to spending large amounts of other people’s money – but the longer he spent at the podium the more he looked like a badger trying to back into its hole. It’s too bad that the video’s not in HD – HDTV, that is. That way you could count the drops of sweat on his face that proliferated with every passing lie.

Rusty Hodge is an interesting character, too. Initially, he was somewhat of an activist, protesting the RIAA’s interpretation of the Digital Millinnium Copyright Act – which calls for Internet Radio stations to pay royalties to the organization for the privilege of playing music on that medium. It was later learned that Hodge had a partner, Elise Nordling, who may be in
conflict of interest since she – coincidentally -works for the Independent Online Distribution Agency (IODA), which promotes independent artists and labels to terrestrial, Internet, and satellite radio. IODA distributes MP3s from indie bands that signed up – and can afford – the service. And inquiring minds want to know if Hodge cut a backdoor royalty deal with RIAA, which, in effect, could turn his service into a pay-for-play operation.

Rather than review the panel, I’ll leave it up to you. Click here for the video and see and hear it in all its glory.

If you do want my truncated opinion – here’s the spoiler: The HD Radio proponents talked about their promotional and marketing problems while evading the deficiencies of HD Radio. But no one said that there is zero consumer interest, no need for the product, it’s never going to work, and to continue this ruse is a waste of time and money.

It’s too bad they didn’t have a camera on the crowd. A friend who was there told me that everyone gave Kelly a “what – I’m an idiot?” look.

I was surprised that the panelists didn’t end the discussion by singing the first chorus of “Kumbaya.”

Since this crowd is in love with its slogans, I think you can sum up trying to sell consumers on HD Radio with this one: It doesn’t take a genius to tell the difference between chicken salad and chicken sh!t.

And that’s why consumers are wise enough to stay clear of HD Radio.
-----

32 comments:

Anonymous said...

"But no one said that there is zero consumer interest, no need for the product, it’s never going to work, and to continue this ruse is a waste of time and money."

You're really hilarious.

George Bush has also never said that the invasion of Iraq was a complete mistake, based on incorrect assumptions, and therefore we should pull out.

You want iBiquity to say their product is never going to work? Is that really what you want them to say?

That's like telling a girl on your first date the size of your penis and your level of experience. When was the last time you did that?

Look...some people like HD and some people don't. You're not going to convince those in favor of it that they're wrong, and they're not going to change your mind either.

Why don't you all just go out and get drunk, and call us back when you've found something new to rant about.

Oh, like the CC investors now think their deal is going through. You shgould have a field day with that one.

bobyoung said...

Pause to laugh? hahahah! I always laugh when I read the complete B.S. that comes from the iBlock Alliance and iNiquity. I work in the psychiatric field and believe that the whole bunch of them are delusional and in dire need of a little inpatient treatment at their local psych unit, either that or they are pathological liars and psychological muscle men and have formed a little mob of their own that belongs in the next cell to the Teflon Don.
The thing that really gets me is that there are actually people in the media who seem to swallow all the krap they spew..... although, you are probably right they have to be on iNiquity's payroll, there is no other explanation for otherwise rational intelligent seeming writers to continue to prop up the biggest lead balloon to come along since the Edsel.
I was going to say that this colossal blunder may make the debacle of the Edsel pale in comparison, but EVERYONE knew about the Edsel in complete opposition to the fact that no one knows about..... ummm what was that called again?

Robert D young Jr
33 S Main St #2B
Millbury, MA 01527
KB1OKL

Anonymous said...

pocketradio, you post the same crap on every blog, and no one cares. Same you you, bobyoung. That guy from Florida should be here any minute with HIS view on the subject, which will be predictable. You guys all need to get over it and find something to do with your lives.

Detroit Diesel said...

Personally, I think it is time for the Coot to dress up his interns in those Devo costumes again to take to the barren streets of downtown Detroit to pass out HD Radio literature. I'm sure that was effective on the last go 'round and I'm also sure it got the attention of the Big Three automakers who are now rushing to make HD Radio standard in their new vehicles.

Anonymous said...

The RAIN HD radio panel went nowhere. Almost everyone in the audience politely snickered and smirked. If there were five people in that room that thought HD radio had a chance to make it I would be shocked.

Rusty Hodge said...

John,

I'm the founder and owner of SomaFM. I want to correct a statement you've made: ``It was later learned that Hodge had a partner, Elise Nording, who may be in conflict of interest since she – coincidentally -works for the Independent Online Distribution Agency (IODA).``

Elise Nordling is one of the several music directors here at SomaFM, and she's responsible for programming Indie Pop Rocks, our college/indie rock channel, and has been doing it for over 6 years. Most of her work for SomaFM has been as a volunteer (like the other music directors and our lone intern). She's an old friend of mine, but she has no ownership or "equity position" In SomaFM.com LLC.

(I think you may be referring to a syndicated article where the writer refers to Elise as my partner. That was just a poor choice of words that the author chose; neither of us ever told him she was a business partner.)

Elise has worked in or around the music industry for many years, and started working for IODA's PromoNet in the last year. It's her "day job". It doesn't affect her music choices, although she might end up hearing about some bands that she wouldn't have heard about otherwise.

SomaFM, like many other broadcasters and podcasters, is a member of IODA's PromoNet; many of the labels we play use IODA for their electronic distribution. PromoNet also pre-clears some tracks for podcast use. As you're aware, if we were to include music in our podcasts, we'd have to clear it from each artist individually. And while many small artists give us podcast clearances, most labels do not grant blanket clearances of all their releases. PromoNet is just one of the tools we use to get Podcast cleared music. (We were involved with this before Elise went to work for IODA, she knew them from past work she did for one of the founders of IODA.)

The San Francisco digital music community is small. Most of us know each other. We hang out with competitors. We see each other at the same shows. We invite each other to our parties. There is not some secret conspiracy going on.

You also ask, ``And inquiring minds want to know if Hodge cut a backdoor royalty deal with RIAA, which, in effect, could turn his service into a pay-for-play operation.``

First off, we play almost no RIAA music. Making a "deal" with the RIAA wouldn't buy us much. If we make a "deal", it will be with SoundExchange, who congress put in charge of distributing royalties to all copyright owners and artists, not just RIAA labels. I have only spoken to an RIAA representative one time, during a meeting with SoundExchange - as the RIAA has a couple of seats on the board of directors of SoundExchange.

Second of all, "Dark Payola" was a term coined during a discussion with myself and reporter David Downs, and I was describing to him this concept of reverse payola, and how we have to fight against it. (PS- look up the domain stopdarkpayola.com which redirects people to his article - I registered that and printed and distributed a bunch of stickers that said "Stop Dark Payola".)

So please don't accuse me of cutting backdoor royaty deals. SomaFM continues to talk with SoundExchange, but frankly we're not getting very far. They've offered to extend the Small Webcasters Amendment, but they're capping listener hours at something which we're going to exceed soon. And the rates are still insane.

I've slowed down being an activist about this, because I didn't have enough time to be the activist and run SomaFM. And our listeners would prefer I spend more time finding good music for them rather than being a political lobbyist.

SomaFM only plays music we like. We don't play music we're paid to play, and never have. SomaFM is tiny, I'm the only full time employee. For 8 years, I had other "day jobs" so I could afford to bootstrap SomaFM.

I think you have the wrong idea about us.

Rusty Hodge said...

One other thing:

I tried to make it clear on the HD radio panel that the only selling point for HD radio was the multicast stuff, and I was encouraging broadcasters to do something interesting and different with their side channels, and broadcast them in whatever ways they can: digital cable TV, streamed, or HD2.

HD radio is a bust. Everyone knows that. What did the guy from Ibiquity say: over 770 stations broadcasting with HD2? Out of about 14,000 total stations? And they call that success?

Perhaps if there was a ton of really interesting content being broadcast people would want to tune in. And I somehow doubt that will ever happen

Anonymous said...

As a broadcaster I'm kind of interested in the return for the cost.

Anonymous said...

"Perhaps if there was a ton of really interesting content being broadcast people would want to tune in."

If content was the motivation, SomaFM would have more listeners than it does. Because from what you say, your motivation is honest, and you're seeking the very best content possible. And I applaud your work and dedication.

I've long since given up on the idea that the best content wins. Ever since I found out "Grandma Got Run Over By a Reindeer" was one of the most popular Christmas songs of all time.

Anonymous said...

"Perhaps if there was a ton of really interesting content being broadcast people would want to tune in."

Actually there's some incredible music on the NPR HD channels. Bluegrass, world music, opera, and a lot of things that you used to hear on public radio in the old days. It's all very niche-y, and all very experimental. Just like FM in the 60s.

Anonymous said...

I've been told that due to some kind of financial agreement with Ibiquity, that NPR stations aren't allow to put their NPR music programming on their main channels (even if they wanted to use them weekends or overnight), only on their HD2/3 channels. I haven't confirmed these details yet, but it sounds plausible.

Anonymous said...

"I haven't confirmed these details yet, but it sounds plausible.'

Absolutely untrue. My local NPR station runs music on its main channel. But offers very different and more niched music on the HD.

Anonymous said...

I happen to enjoy reading the insightful and thoughtful posts of pocketradio, Bob Young, and our Florida Keys regular. I'm just on the sidelines, but I get something out of every post.

This is a very good blog, by the way.

Anonymous said...

I was referring to the 4 music programs that NPR distributes for "HD radio supplemental
channel use":

Classical music from Classical Public Radio Network, the joint venture of Colorado Public Radio and KUSC in Los Angeles;

Jazz from JazzWorks, a collaboration of Boise State Radio in Idaho and WDUQ in Pittsburgh;

Folk music from FolkAlley.com, a webcast produced by WKSU in Kent, Ohio;

Triple A tunes from Philadelphia's WXPN, branded as XPoNential Radio; and

Groove Salad, electronic music from longtime webcaster SomaFM.

Some NPR member stations had asked about running these programs on their main channels, and were told that they could not do so; that they were only for HD multicast/supplemental channel use.

Squantum said...

John, I want to thank you for allowing all sides to contribute to your blog comments. I have posted on Fred Jacobs's blog in the past only to have my comments removed because I disagreed with his philosophy or business practices. I don't always agree with you. In fact there are times that you piss me off with your liberal attitude but I will give you credit for not censoring those who disagree with you. I wanted to mention this before and it was you allowing Rusty Hodge to speak his mind that impressed me the most. You would not get that from Fred Jacobs or the coot as you so lovingly call him. Some time I want you to write about how and why you called him out for his paid support of HD radio. I will never agree with you politically and there have been times I have wanted to write and tell you off and maybe I will in the near future knowing that I will not be deleted.

Anonymous said...

You were too quick to judge Rusty Hodge. At least you allowed his rebutt.

internet radio user said...

John: Why not have the RIAA/Sound Exchange start their own internet radio stations where they can promote their own music. They have the money, the wherewithall, and product. They could make money by selling music from the site. This is a better alternative than charging independent non-profit or unprofitable love-of-labor internet radio sites or those like Rusty's SOMA who want to remain independent. The labels have a win - win here. They control their own content PLUS they allow indie sites to also play music based on merit. The DMCA is just plain wrong unless you are already turning a profit then it should be based on a percentage of profits or top of the rate card like ASCAP, BMI & SESAC have with terrestrial radio. The same for terrestrial radio stations that are on line since they are profitable. The RIAA should not be worried about a level playing field and neither should the labels. The more outlets they have the more exposure they will get. I am not in your business and there may be issues I am unaware of. The DMCA has its purpose to protect digital rights. This proposal is similar to Congress protecting and allowing the growth of internet commerce by not taxing goods purchased on the web. Internet radio should be allowed a similar break. What do you think?

paul vincent zecchino said...

HD jams. Promoters deny it. If promoters aren't on the level, how can HD be anything but a lie?

Isn't that why some say that HD is a a 'carny shill'?

Wasn't HD a lie from the outset? If BigRadio/iNiquity wanted to jam AM & FM to make a cheaszy buck and loot public airwaves, whyn't they just admit it?

Why, instead, did they blat nonsense a la, 'HD does not interfere', 'you have no business listening to distant stations', 'there are no known problems with HD'?

These characters aren't stupid. Why do they presume listeners to be?

"No known problems"? None? Not one? Truly? Wow.

Isn't that why many say, 'everything about HD is a lie'?

Dr. Paul Vincent Zecchino
Manasota Key, Florida
24 April, 2008

Anonymous said...

"If BigRadio/iNiquity wanted to jam AM & FM"

The interference problem you refer to only exists on AM.

Anonymous said...

Mark my words. When we have a change in the White House or should I say if we have real change in the White House and on Capitol Hill, I hope an investigation is done on the FCC under Michael Powell for approving iBiquity's digital system and Kevin Martin for supporting it. It was and is influence peddling and back room dealing at its worst and it has cost independent radio station owners, those not part of the cartel, thousands of dollars in needless licensing fees and construction costs. After all that it doesn't work and has no consumer interest. Unlike HD TV where the original TV band was to be auctioned off there are no plans to change existing AM-FM frequencies. This is a farce all the way around and those responsible should be held accountable.

Anonymous said...

"Now, you wouldn't be part of the HD Radio lie, would you?"

Not at all. I just don't like liars. And you're digging pretty deep to find FM interference.

There is a much bigger problem with LPFM interference, and no one is protesting that. In fact if anything, there are groups advocating more LPFM stations, and ignoring the complaints of FM licensees.

Anonymous said...

"You indicated that FM-HD does not jam, but it does."

Jamming and interference are not the same thing.

If you scan down the diymedia article you cite, you'll see that they promote LPFM. So interference is obviously OK when you like the people doing the interference. It's not OK when it's done by big media. I find that a bit hypocritical.

Anonymous said...

"That's laughable - now, you are trying to play-off semantics!"

You are confusing fact and opinion. am-dx is an anti-HD blog who are promoting an agenda. I would not use what they say as fact. You might as well get your facts on Clear Channel from Gorman. And your quote from am-dx is purely about AM, not FM. So YOU are the one playing with the facts here, not me.

There has been no objective proof of any sort that the problem with HD on the AM band is deliberate. Therefore, by your own definition, it is NOT jamming.

Now take your toys and go back to the sandbox.

Anonymous said...

"And, you are still trying to obfuscate the original subject, with talk of LPFMs."

Interference is interference. If that's really what the issue is, then blogs like diymedia should equally oppose LPFM. But they don't because their agenda isn't interference, but media ownership.

You still have not made a case that HD radio causes interference on FM.

Try and dig up some unbiased reporting for a change.

Anonymous said...

None of those references are objective.

And now you're attempting to obfusgate the original issue with something about battery life.

Anonymous said...

An advanced technology and maybe HD is radio’s future! Terrestrial radio as we know it is dying. The next generation adults 18-34 aren’t passionate about your products. They lean towards Ipods, cell phones, social networking and so on, but not radio. Adults 35-54,
have grown up listening to terrestrial radio and accept the technology. And for others seeking more the internet, satellite, Ipods, cell phones, mp3’s and other gadgets have already satisfied their passionate desires. The time for HD radio was 10 years ago when the technology would have wowed everyone! Instead we are left with a technology that promises to sound better, but still acts like old fashion radio and plays the same old content. If HD expects to be the next big thing, you need to wow this and the next generation of radio listeners. So far your efforts have failed. You have an F. Clear Channel leadership has failed you.

Radio needs young and new blood to energize the industry, never mind creating compelling HD content. The current crop of the leaders, are short sighted and solely focus on short-term profits. They’ve stopped investing in radio and it’s people while continuing to cut more fat. And soon, national programs will replace local morning and midday shows.

I’ve visited Wal-Mart, Best Buy and Circuit City hoping to play and hear HD. But all of my efforts have failed. While they have receivers, HD requires an external antenna so what I heard was nothing. I guess lack of interest hasn’t motivated store management to install the hardware correctly. And to be fair, I’ve had no problem listening to satellite radio. I’ve listened to HD stations online and wasn’t wowed enough to part with $200.00. My collection of radios work fine. Though the content could be improved. I won’t hold my breath

Anonymous said...

>> Even those who want to believe these clowns aren’t. <<

The fact that the ahemmm "vested interest" study of the HD Radio market came out almost simultaneously with another report on the same market from a highly trusted source, but with polar opposite results, makes it really tough on us folks who are at least trying to drink the Kool-Aid. Shall we quaff the pitcher savoring the chicken salad or the chicken sh**?

By the way, I'm anonymous because I don't want to lose my job, but some employees where I work speak pretty freely about their regard (or lack of same) for HD Radio.

Anonymous said...

You have to know when your product is not going to be accepted by the masses. Cut your losses and get out. This is what iBiquity has to do. Yes, iB conned radio and maybe some got a kickback from iB but not all. Yes, iB conned manufacturers and that won't be the first time. HD radio is dead and to keep it alive does no one any good including iB. HD-DVD knew when to fold their tent. Betamax was years late and it cost the Sony brand in video recording for years. Radio stations would be wise to pull the HD 2,3 channels and concentrate on their terrestrials. AM should not even consider HD and if you have put the iBiquity propaganda posters next to the AM stereo ones.
If you don't you will see the values of your stations slide even further. At least CBS radio is getting it. They are moving their HD-2, channels to promote on Internet radio via AOL where they will have a greater reach and frequency.
No one is buying HD radio. Understand that, cut your losses and get ahead of the game.

Anonymous said...

I just wasted some time on the Fred Jacobs blog. Thank you for providing the link. You are too kind. He is on everybody's payroll, the NAB, iBiquity, RAB. If you look closely at that touched up photo on his blog you can see the strings attached to his fingers.

We had him as a consultant once. My GM wisely did not renew him. He had inherited the aptly named coot from the previous GM.

He is the Mike McVay of rock.

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Anonymous said...

Dude, you so need to set the crack pipe down and do some research before writing articles. Dang. Impressive inaccuracies, falsehoods, and just plain warped thinking throughout.

Are you a conspiracy theorist, as well, by chance?

Anonymous said...

I could go on and on about the blatant inaccuracies in your little blog post, but I'll stick with one: It's called the Independent Online Distribution Alliance, not the Independent Online Distribution Agency. A click on the name brings you to www.iodalliance.com, so I'm shocked that you didn't get the name right. What a fool you are.