Jeff Smulyan: Radio Will Remain Competitive In The Car

Jeff Smulyan

In Thursday's conference call with analysts dicussing reported 3Q results (See original posting, "Emmis: Radio Revenue Is On The Rebound" Click Here), Emmis CEO Jeff Smulyan indicated he's positive traditional radio will remain competitive in the car.  The reason?  4G consumers costs.  He says he radio has the advantage of  'being free'.

Smulyan’s also remains bullish on the Emmis-developed NextRadio app and TagStation, which help the FM chip come alive and become interactive.

According to Smulyan, "The most important thing that the American automakers have said is we've got to have systems that are seamless, but that really do not have the kind of distraction.

"Let me say that I am very sanguine about the fact that terrestrial radio has a great ability to compete in the automobile. And I've seen the stories. I know that a number of companies are going to put 4G systems in, but when you have to put it in 4G systems in a car and you realize that whether it’s AT&T or Verizon or whomever is going to provide a connection that's probably another at least $50 or $60 a month to the consumer.

"The disposal income of the American public is still an issue and that 4G connection is not free and as people consume more information in that system, we've seen results in the past having a radio that is interactive, that is free, that doesn’t consume data, we think gives us a tremendous opportunity to hold our position in the car."