FCC Moves To Eliminate Main Studio Rule

The Federal Communications Commission has formally released a Notice of Proposed Rulemaking, proposing to eliminate the main studio rule. It requires each AM, FM and television broadcast station to have a main studio in or near its local community. The commission had indicated earlier that it planned to do so as new Chairman Ajit Pai moves quickly to pursue his agenda of removing what he sees as outdated or unnecessary regulations.

According to RadioWorld, the proposal would be a major change, removing a business restriction that U.S. broadcasters have taken as a given for decades yet chafed under. The notice also proposes to eliminate the requirement that the main studio have full-time management and staff present during normal business hours and the requirement that it be able to originate programming.

"The main studio rule, which the FCC adopted more than 70 years ago, was originally implemented on the premise that local access to the main studio facilitated input from community members and the station’s participation in community activities," the commission stated Thursday.

"Today, modern communications enable stations and community members to interact more directly, without the presence of a local broadcast studio. In addition, community members already, or soon will, have online access to a station’s public file, removing the need for community members to visit the main studio to access the file. Television broadcasters completed their transition to the online public file in 2014, and radio broadcasters will complete their transition by early 2018."

In commenting on the vote, which all three commissioners approved, Pai gave the example of a broadcaster in Minnesota who would like to build out a construction permit for an AM station in a nearby town, but who told Pai that the “Main Studio Rule is a killer; the cost to maintain a staff—it would make the construction of this facility a ticket of doom.” Read Pai's full statement below.

Commissioner Mignon Clyburn, the only Democrat on the panel (and its former acting chair), also voted yes but expressed reservations.

FCC Votes 2-1 To Advance Repeal of Obama-era Internet Rules

By David Shepardson

(Reuters)  -- The Federal Communications Commission voted 2-1 on Thursday to advance a Republican plan to reverse the Obama administration's 2015 "net neutrality" order.

FCC chairman Ajit Pai has proposed the commission repeal the rules that reclassified internet service providers as if they were utilities. He thinks the open internet rules by President Barack Obama, a Democrat, were unnecessary and harm jobs and investment.

"We propose to repeal utility-style regulation," Pai said Thursday. "The evidence so far strongly suggests that this is the right way to go."

The public will have until mid-August to offer comments before the FCC votes on a final plan.

Pai wants public input on whether the FCC has the authority or should keep its "bright line" rules barring internet companies from blocking, throttling or giving "fast lanes" to some websites. He has not committed to retaining any rules, but said he favors an "open internet."

Pai said he would make a final proposal public before a final vote and said the FCC will conduct a cost-benefit analysis.

Democratic FCC Commissioner Mignon Clyburn, who voted against the plan, said the end game appears to be an internet without FCC regulatory oversight. She said the proposal "jeopardizes the ability of the open internet to function tomorrow, as it does today."

The FCC, which has already received more than 1 million comments, is also seeking comment on whether U.S. states should be able to set their own broadband privacy or other regulations.

Facebook Inc, Alphabet Inc and others back net neutrality rules, saying they guarantee equal access to the internet.

Broadband providers AT&T Inc, Verizon Communications Inc and Comcast Corp oppose the 2015 order, saying it would discourage investment and innovation.

Internet providers insist they will not engage in blocking or throttling even in the absence of rules, but critics are skeptical.

Senator Brian Schatz, a Democrat, said "it will take millions of people standing up, just like they did before, to say that the internet needs to stay free and open. That’s what it will take to win."

Comcast, Charter Communications Inc and Altice NV's U.S. unit signed an advertisement Wednesday saying they are "committed to an open internet that gives you the freedom to be in charge of your online experience.... We do not block, throttle or otherwise impair your online activity."

USTelecom, an industry trade group, said the FCC "is moving the conversation beyond the merits of net neutrality to how best to safeguard this universally embraced value with a modern, constructive policy framework."

R.I.P.: Roger Ailes Is Dead

Media titan Roger Ailes, who resigned from his positions as chairman and CEO of Fox News Channel and Fox Business Network amid sexual harassment allegations, has died, according to CNBC.

Ailes resigned from Fox in the wake of former Fox News Channel Host Gretchen Carlson's sexual harassment lawsuit against him. Ailes had denied the allegations.

Ailes founded Fox News and helped shape the modern cable news landscape in the process.

In a statement to Drudge Report, his wife Elizabeth Ailes said, "I am profoundly sad and heartbroken to report that my husband, Roger Ailes, passed away this morning. Roger was a loving husband to me, to his son Zachary, and a loyal friend to many. He was also a patriot, profoundly grateful to live in a country that gave him so much opportunity to work hard, to rise—and to give back. During a career that stretched over more than five decades, his work in entertainment, in politics, and in news affected the lives of many millions. And so even as we mourn his death, we celebrate his life..."

No cause of death was given.

Breaking News: Former Fox News chairman and CEO Roger Ailes has died, his family announced. pic.twitter.com/AksPdNSZaI

— Fox News (@FoxNews) May 18, 2017

The Ohio-born television pioneer was a confidante of presidents and a acknowledged master of communications. He founded Fox News in 1996 and built it into the nation's long-running No. 1 cable news network Ailes resigned from Fox in July.

At the time of Ailes' his departure, Executive Chairman of News Corp Rupert Murdoch said, "Roger Ailes has made a remarkable contribution to our company and our country ... Roger shared my vision of a great and independent television organization and executed it brilliantly over 20 great years.”

Today America lost one of its great patriotic warriors. Roger Ailes. For Decades RA's has impacted American politics and media.

— Sean Hannity (@seanhannity) May 18, 2017

Love and prayers to Beth and Zach. R.I.P Roger - you changed television as we know it. https://t.co/1vjhGFQaDc

— Bret Baier (@BretBaier) May 18, 2017

RIP #RogerAiles one of the most impt broadcasters in history-The genius who created #FoxNews -a good friend, who loved his family & country

— Geraldo Rivera (@GeraldoRivera) May 18, 2017

Roger Ailes founded one of the most important and successful media outlets in American history. I will miss his friendship dearly. RIP.

— Laura Ingraham (@IngrahamAngle) May 18, 2017

Terribly sad news. R.I.P. https://t.co/K90HHnc1fx

— Brit Hume (@brithume) May 18, 2017

Rupert Murdoch, Executive Chairman of 21st Century Fox and the Fox News Channel,  issued a statement Thursday, mourning the loss of Fox News founder Roger Ailes:

Everybody at Fox News is shocked and grieved by the death of Roger Ailes. 

A brilliant broadcaster, Roger played a huge role in shaping America’s media over the last thirty years. He will be remembered by the many people on both sides of the camera that he discovered, nurtured and promoted. 

Roger and I shared a big idea which he executed in a way no one else could have. In addition, Roger was a great patriot who never ceased fighting for his beliefs. 

At 21st Century Fox we will always be enormously grateful for the great business he built. Our thoughts and prayers are with his wife Elizabeth and son Zachary.

Neither Ailes' wife nor Fox released any details on the circumstances of his death. He suffered from hemophilia, according to a source familiar with the matter.

Reuters is reporting Gabriel Sherman, a reporter who wrote a biography of Ailes, said on Twitter that Ailes died after suffering a blood clot after falling in Palm Beach, Florida, citing two family friends. Reuters could not immediately confirm Sherman's report.

Nielsen Day3 PPMs: Portland, Vegas, Orlando, 9 Other Markets

Nielsen on Wednesday  5/17/17 Released the third batch of April 2017 PPM Data for the following markets:

    23  Portland OR

    24  Charlotte-Gastonia-Rock Hill NC

    26  San Antonio

    27  Pittsburgh

    28  Sacramento
   
    29  Salt Lake City

    30  Las Vegas

    31  Cincinnati

    32  Orlando

    33  Cleveland

    35  Kansas City

    37  Columbus OH

Click Here to view Topline numbers of subscribing Nielsen stations.

Back-On? SiriusXM In Discussions To Buy Pandora

Liberty Media-backed SiriusXM is in active discussions about making a bid for internet radio company Pandora, The NYPost has learned.

The satellite radio company, which has exhibited on-and-off interest in the struggling streamer, has recently restarted talks with Pandora’s banks and is discussing the size of a potential offerds There is no agreement yet on a price, but one optimistic industry insider believes a bid could range as high as $12 to $13 a share.

Liberty Media Chief Executive Greg Maffei has said in the past that he thinks Pandora is worth $10 per share. Shares of the Oakland, Calif., company on Wednesday shed 4.5 percent, closing at $8.93.

Pandora, run by founder Tim Westergren, had hopes for continuing to run the streamer as a stand-alone company, but two activists — Matrix and Corvex — have pushed the company to pursue a sale.

Pandora on May 9 inked a deal with KKR on a $150 million investment. Terms of the investment have it closing in no less than 30 days. There has been chatter that Pandora will look to sell itself within that time frame.

Goldman Sachs analyst Heath Terry, wrote in a report on Wednesday that the market is focused on the increasingly competitive environment in streaming music — and its lack of profits. Still, Terry’s price target is $16.

Pandora reported 1.3 million trials of its on-demand products in the first quarter and a 6 percent uptick in revenue, to $316 million. Still, active listeners were 76.7 million, down from 79.4 million in the year-ago period.

Report: Lew Dickey Looking To Acquire

Less than a week after announcing the pricing of a $180 million IPO, Lew Dickey’s newly formed Modern Media Acquisition Corp. formally closed the offering Wednesday afternoon. “Demand was strong,” Dickey told InsideRadio.

“I’m now hard at work looking for a company in media, entertainment or marketing services [with a] value approaching $1 billion. It will be a ‘platform company’ where we expect to make follow-on acquisitions and will be listed on NASDAQ.”

Dickey is again working with Macquarie Capital, which had a long-term relationship with Cumulus. It was Macquarie, along with Crestview Partners, that helped bankroll Cumulus’ $2.4 billion acquisition of Citadel Broadcasting in 2011. This time Macquarie is the sole “book runner” for the newly launched IPO.

The once-ousted CEO formed a Special Purpose Acquisition Company (SPAC) branded as Modern Media Acquisition Corp. Also known as a “blank check company,” it’s essentially a blind pool of money that’s going public. Investors are betting on the longtime radio exec to find, buy and operate a business in the media, entertainment or marketing services industries. According to a press release, MMAC was “formed for the purpose of effecting a merger, share exchange, asset acquisition, stock purchase, reorganization, recapitalization or other similar business combination with a target company.”

Lew Dickey

Last week it announced the pricing of the IPO, offering 18 million units at $10.00 a pop. Each unit consists of one share of common stock, the right to buy an additional one-tenth of a share “upon the consummation of the Company’s initial business combination,” and one-half of a warrant to buy one share of MMAC common stock at $11.50 per share.

After being ejected as Cumulus CEO on Sept. 29, 2015, during the Radio Show in his hometown, Dickey used some of his downtime to analyze the “dramatic and accelerating” changes in the media business. Dickey told Inside Radio last fall the outcome of that reflection—the book “The New Modern Media,” published by Tourbillon International, a unit of Dickey-owned Modern Luxury Media—is also a roadmap for what he intends to do next.

Dickey resigned his position as vice chairman of the Cumulus board of directors in late March, right around the time his 18-month non-compete agreement expired. Now he plans to use the IPO proceeds to buy a target company.

Fox News To Build Cutting-Edge Digital Newsroom

Artist's rendering

FOX News Channel has announced its plans to unveil a new cutting-edge newsroom in early 2018.

Rupert Murdoch, Executive Chairman of 21st Century FOX, made the announcement during a company-wide meeting at FNC Headquarters Wednesday.

“This is a major investment in the future of FOX News and a sign of my unwavering confidence,” Murdoch said. “It will be state of the art and open, befitting the most important media outlet in America.”

The upgraded space will feature an open-concept floorplan designed to enhance communication and creativity among the programming, news and digital teams. The expanded newsroom comes at a time when FNC is moving forward with plans to hire new journalists and content creators to broaden the scope and depth of reporting across all platforms.

President of News Jay Wallace added, “The overall objective of this design is to increase collaboration and strengthen our depth of reporting across all platforms.”

Suzanne Scott, President of Programming explained the new newsroom is a commitment to ensure “the entire team here has all the necessary resources to continue keeping us ahead of the competition as we invest in the future of FOX News.”

Construction is set begin on July 1 and to be completed in four phases, with broadcasting in the new site expected to start in early 2018.

Study: NFL Coverage Boosts Mobile App Downloads, Usage

A new Nielsen study, commissioned by Westwood One, demonstrates how radio elevates key brand metrics for a money transfer app. The brand advertised in Westwood One’s NFL coverage and saw growth in app awareness, app usage, brand health, and ad recall according to the results published on the Westwood One blog.

Key findings of the Westwood One and Nielsen study include:

• Radio boosted brand awareness and app usage. Nielsen saw that ads airing in Westwood One’s programming generated a 26% increase in app awareness. Even more important, the app saw a 21% increase in usage of the app overall.
• The NFL radio campaign was memorable, driving significant brand image increases. Among those who were exposed, key image associations grew. Those who heard the campaign were 18% more likely to indicate that the app company offered a “convenient transfer of money.” It also saw images of trust and leadership increase.
• The NFL radio campaign boosted awareness of the entire media plan. Exposure to radio led to far greater recall for all other elements of the media campaign including digital, television, billboard/outdoor, mobile, and print advertising.
• Radio ads voiced by play-by-play talent performed best. Compared to other ads tested by Nielsen, the creative favorability for ads voiced by radio talent tested off the charts, 60% better than the Nielsen radio creative average.

TX Radio: Mike Huckabee Group To Buy Four Tyler Stations

Former Arkansas Gov. Mike Huckabee is part of a group buying four radio stations in the Tyler, Texas market - the radio group once owned by the Waller family. That includes KFRO 95.3 FM / KLJT  102.3 FM The Breeze,  which abruptly shut down last August after the death of William Dudley Waller, reports the Tyler Morning Telegraph.

“We are very happy a wonderful group of people has entered into a contract with Waller Media LLC,” she said. “The new company will be East Texas Results Media LLC. It’s Michael D. Huckabee, Paul Coates and Libby Coates. They are all from Arkansas, where Dudley Waller, my dad, was from.”

The acquisition was first reported in InsideFortSmith.com, which said, “Paperwork was filed with the FCC on Monday for Huckabee’s East Texas Results Radio LLC to purchase four radio stations in the Tyler, Texas market. The former broadcaster-turned-preacher-turned-politician is a 49 percent owner in the company, partnering with longtime Arkansas broadcaster Paul Coates, who has owned and operated a number of radio stations across the state including nearby stations in Ozark.”

The deal is reportedly worth about $1.2 million.

KLJT 102.3 FM (50 Kw)

“Huckabee is no stranger to the radio business, having started out as a young broadcaster at his hometown station in Hope,” that news site says. “Following his two terms as governor of Arkansas, he would go on to host The Huckabee Report which took the place of ABC Radio’s Paul Harvey and a syndicated talk show that aired opposite of Rush Limbaugh.”

Huckabee served as governor of Arkansas from 1996 to 2007. He was first elected as lieutenant governor, but when then-Gov. Jim Guy Tucker was convicted of fraud during the Whitewater investigations, Huckabee became governor.

Huckabee ran for president twice, in 2008 and in 2016. When he ended his campaign in the Republican primary, he backed Donald Trump.

In Times of Emergency, Radio-TV Dominate

The National Association of Broadcasters revealed new research Wednesday from Morning Consult confirming the critical role that radio and TV broadcasters play in times of emergency. Indeed, the polling shows that in emergency situations, Americans turn to broadcast TV and radio above all other media by a factor of nearly four to one.

In an online survey of 2,251 adults 18+ conducted from March 16 – March 19, 2017, Morning Consult found that nearly six in 10 adults are most likely to use local radio and TV stations and/or broadcast networks for updates in the event of an emergency. While 57 percent of respondents selected local radio, TV and/or broadcast networks as the media of choice during dangerous weather or emergency conditions, other sources of media rated much lower: text messages (15 percent), online news sources (14 percent) and cable news (12 percent).

Morning Consult’s polling comes as NAB Chief Technology Officer Sam Matheny testified Wednesday at a hearing of the House Energy and Commerce Committee Subcommittee on Communications and Technology on emergency alerting capabilities. Matheny’s testimony will highlight the broadcast TV industry’s planned voluntary transition to Next Generation Television, which will include dramatic improvements in local TV public safety capabilities.

Infowars' Alex Jones Apologizes To Chobani

Conspiracy theorist and radio show host Alex Jones retracted and apologized for a previous report that accused yogurt maker Chobani of supporting "migrant rapists" who spread disease in the company's Twin Falls, Idaho, home base, reports CNN.

In a video message posted to YouTube Wednesday, Jones admitted he made "certain statements" on InfoWars -- the name of his YouTube channel -- about Chobani "that I now understand to be wrong."
"The tweets and video have now been retracted and will not be re-posted. On behalf of InfoWars, I regret that we mischaracterized Chobani, its employees and the people of Twin Falls, Idaho, the way we did," he said.


The Chobani ordeal began in April, when Jones claimed that refugees employed by Chobani committed sex crimes and caused an uptick in disease in Twin Falls, where Chobani's factory is located.

Jones previously changed the name of one of his videos that was initially titled "Idaho yogurt maker caught importing migrant rapists" after Chobani threatened him with a lawsuit.

In the video, Infowars reporter David Knight says that two refugee teenagers in Twin Falls plead guilty to raping a five-year-old girl and refers to Chobani founder Ulukaya as a man who's "championed refugee employment in the area."

Chobani ultimately sued Jones, and the lawsuit has now been settled, according to the company. The financial terms of the deal were not revealed, and Chobani declined further comment.

The retraction and apology is the second from Jones so far this year. In March, Jones admitted his claims that a child sex ring linked to a Hillary Clinton aide was being run out of a Washington pizzeria were false. He had referred to the conspiracy theory as "Pizzagate."

In the face of numerous lawsuits, Jones issued a video apologizing for "any negative impact our commentaries may have had on Mr. Alefantis, Comet Ping Pong, or its employees."

Houston Radio: Baseball A Hit For KBME-AM

After years of being as much of a blip on the radio dial as they were on the field, the Astros are now a determining factor in the daily chase for sports radio listeners in Houston, according to The Houston Chronicle.

iHeartMedia's KBME 790 AM, the Astros' flagship station, doubled its audience share from a month ago in the most recent Nielsen Audio ratings book, tying KILT 610 AM for first place among the four all-sports stations in men 25-54, the key advertising demographic for sports radio. KBME has a narrow lead over KILT in persons 12-plus.

None of the three sports stations that draw ratings are doing great shakes. They have a combined 3.9 percent of the men 25-54 weekly audience, less than the number for each of the top 10 stations in town. But competition is competition, regardless of the weight class, and KBME is on the upswing with the arrival of baseball season and the Astros' team-record fast start.

KBME and KILT are tied for 22nd among all Houston stations in men 25-54, with KFNC 97.5 FM one spot back. KFNC is top-rated among the three in morning drive, KBME and KILT are tied in middays (10 a.m.-3 p.m.), and KILT has a more substantial lead over KBME and KFNC in afternoon drive time (3-7 p.m.), but, interestingly enough, KBME leads in men 18-49 in that same time slot.
From 7 p.m. to midnight, KBME outrates KILT and KFNC combined with room to spare, which offsets KILT's edge in afternoon drive and produces the weeklong tie.

San Diego Radio: Nielsen Renews Midwest Radio, TV

Nielsen announced Wednesday that it has signed a renewal agreement with Midwest Television for KFMB-TV, a CBS-affiliated television station located in San Diego. Midwest Television adds the CW Network affiliate to their digital subchannel in June 2017, which will also utilize Nielsen’s local measurement services.

Nielsen Audio also renewed its contract with Midwest’s radio stations KFMB 760 AM and KFMB 100.7 FM. Midwest retained all services, including Portable People Meter data and analysis tools, as well as services that provide deep in-market qualitative data.

By renewing its agreement with Nielsen, Midwest Television ensures its local stations have access to local currency ratings data. Nielsen will provide both stations with tools that enable deep and targeted analysis regarding specific consumer segments and characteristics. In addition, KFMB-TV will leverage Nielsen’s in-market, qualitative and analytics insight to gain a full view of the local consumer. The broad set of Nielsen solutions will allow KFMB-TV to have a better understanding of the value of their content and commercial inventory.

“Nielsen offers solutions that are tailored to San Diego’s unique demographics and market dynamics, which help us optimize our assets to achieve the greatest return,” said Alberto Mier y Teran, General Manager, Midwest Television. “Nielsen’s comprehensive portfolio of local solutions helps us position our story in the market and capture our share of local ad dollars. We are pleased to extend our agreement with Nielsen.”

U.K Radio: Spotify Has More Listeners Than BBC Radio1

BBC Radio 1 has posted its worst quarterly Rajar ratings result in history.

According to Music Business Worldwide, the station’s average weekly audience fell to just 9.1m in the period – representing around 14% of the total UK population, and down by more than 2m people compared to five years ago.

Year-on-year, Radio 1’s audience dropped by 804,000 compared to the three months to end of March 2016.

These are historic figures for more reasons than one.

According to MBW’s sources, Spotify now comfortably boasts more than 9.1m active users in the UK market (and is believed to be up towards the 10m mark on a monthly basis).

It’s the first time, therefore, that Spotify’s UK audience has officially surpassed that of the BBC’s flagship new music radio network.

Spotify has poached key Radio 1 staff over the past 18 months including George Ergatoudis – who left his role as R1’s Head of Music to become Spotify UK’s Head of Content Programming in late 2015.

Last year, BBC Radio 1Xtra’s respected music chief Austin Daboh also made the leap as he was named Spotify’s Senior Editor, Content Programming UK.

Quarter-on-quarter, Radio 1’s Q1 audience fell by 459,000 in the first three months of 2017.

R.I.P.: Chris Cornell of Soundgarden Commited Suicide

Chris Cornell

UPDATE 5/18/16 4:30 PM:

The death of Soundgarden singer Chris Cornell has been ruled a suicide by the Wayne County Medical Examiner's Office.

Original Posting...

(Reuters) --  Musician Chris Cornell, who gained fame as the lead singer of Soundgarden and later Audioslave, died on Wednesday in Detroit, his representative said. He was 52.

Cornell's family would be working closely with the medical examiner to determine the cause, representative Brian Bumbery said in a statement.

"His wife Vicky and family were shocked to learn of his sudden and unexpected passing," Bumbery said. "They would like to thank his fans for their continuous love and loyalty and ask that their privacy be respected at this time."

Seattle-born Cornell was the lead singer of Soundgarden, one of the leading bands in the grunge music movement in the '80s and '90s. In 1991, the band released platinum album "Badmotorfinger."

Three years later, Soundgarden released "Superunknown," a mainstream music scene success that earned the band two Grammys after it reached the top of music lists.

The band's "wild soundscapes combined visceral punk attitude with artistic depth," his bio said on his website.

In 2001, Cornell joined members of Rage Against The Machine to form Audioslave, which earned acclaim with its self-titled album that earned three-platinum status.

Cornell also had an extensive solo career as a singer, songwriter, guitarist, composer and lyricist and worked with various other musicians over three decades in the music business.

The Chris and Vicky Cornell Foundation raises funds and partners with organizations to support children facing homelessness, poverty and abuse.