FCC Chairman Brendan Carr recently sent a letter to iHeartMedia Chairman and CEO Bob Pittman regarding the upcoming 2025 iHeartCountry Festival, scheduled for May 3, 2025, in Austin, Texas.
The focus of the letter is to ensure that iHeartMedia adheres to federal payola regulations in organizing and promoting the event. Payola refers to the illegal practice of providing or receiving undisclosed compensation—whether cash, goods, or services—in exchange for airplay or promotion on broadcast stations, without proper disclosure to the public.
Carr’s inquiry stems from broader concerns about compliance with sponsorship identification rules and the prevention of "covert manipulation" of airplay, particularly following an FCC Enforcement Advisory issued earlier in 2025.
That advisory highlighted a trend where some radio stations might pressure artists into performing at station events, like festivals, either for free or at reduced rates, in exchange for increased airplay—a practice that could violate federal law if not properly disclosed. Carr is seeking clarity on how iHeartMedia will structure the festival, including how artists are selected, compensated, and whether their participation influences their airplay on iHeartMedia’s numerous radio stations.
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| Brook & Dunn headline this year's iHeartCountry Fest in Austin |
In the letter, Carr reportedly posed specific questions to Pittman, asking for details such as which artists will perform, what compensation they’ll receive (if any), and whether their involvement in the festival could affect their airplay.
He also asked about iHeartMedia’s policies on payola, how they train staff to comply with FCC rules, and how the company has responded to the recent Enforcement Advisory. The letter reflects Carr’s stated commitment to cracking down on payola violations, signaling that the FCC, under his leadership, is taking a proactive stance on enforcement—an approach he’s emphasized since becoming chairman.
This move comes in the context of heightened scrutiny of the radio industry, sparked in part by a January 2025 letter from U-S Senator Marsha Blackburn (R-Tennessee) to Carr. She raised concerns about stations allegedly coercing artists into "free shows" under implicit threats of reduced airplay, a practice she labeled exploitative.
The iHeartCountry Festival, a high-profile event tied to iHeartMedia’s influential country music stations, appears to be a test case for Carr to ensure compliance in a real-world setting. Pittman has been given a tight deadline—ten days—to respond with detailed answers, underscoring the urgency Carr places on transparency and adherence to the law.
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