Losing the Music Royalty Battle

There's a fight going on right now -- and about escalate -- over music royalties.

I hope the lawyers are making a lot of money because no one wins this battle.

The NAB is claiming victory in the second round of Greedy Record Labels vs. Clueless Radio Operators.

The NAB says it has enough votes to prevent repeal -- at least 219 co-sponsors for the Local Radio Freedom Act which opposes requiring AM and FM stations to pay any performance fee to record companies and artists.

Nice name, eh?

Local Radio Freedom Act.

What b.s.!

Local radio is rapidly morphing into national radio thanks to Clear&hellip

Losing the Music Royalty Battle

There's a fight going on right now -- and about escalate -- over music royalties.

I hope the lawyers are making a lot of money because no one wins this battle.

The NAB is claiming victory in the second round of Greedy Record Labels vs. Clueless Radio Operators.

The NAB says it has enough votes to prevent repeal -- at least 219 co-sponsors for the Local Radio Freedom Act which opposes requiring AM and FM stations to pay any performance fee to record companies and artists.

Nice name, eh?

Local Radio Freedom Act.

What b.s.!

Local radio is rapidly morphing into national radio thanks to Clear&hellip

Radio’s Toilet Bowl XIII

Clear Channel President John Hogan says radio as we know it is in the toilet.

Quoted in Inside Radio, Hogan is conceding failure for today's radio industry.

Radio’s Toilet Bowl XIII

Clear Channel President John Hogan says radio as we know it is in the toilet.

Quoted in Inside Radio, Hogan is conceding failure for today's radio industry.

Radio Is the New Macy’s

Turnabout is fair play.

Consolidators have screwed employees out of their jobs.

Now, advertisers are screwing radio stations out of previously agreed upon rates.

What do you expect when there is only one rep firm for the entire radio business?

And that rep firm is owned by Clear Channel, the largest radio group.

And Clear Channel is owned by a group of clueless private equity companies named Lee & Bain.

What you get is radio advertising anarchy.

And that's what is happening -- chaos, disorder. Perhaps you've seen or heard.

GEICO, one of the largest radio advertisers, negotiates its&hellip

Radio Is the New Macy’s

Turnabout is fair play.

Consolidators have screwed employees out of their jobs.

Now, advertisers are screwing radio stations out of previously agreed upon rates.

What do you expect when there is only one rep firm for the entire radio business?

And that rep firm is owned by Clear Channel, the largest radio group.

And Clear Channel is owned by a group of clueless private equity companies named Lee & Bain.

What you get is radio advertising anarchy.

And that's what is happening -- chaos, disorder. Perhaps you've seen or heard.

GEICO, one of the largest radio advertisers, negotiates its&hellip

Seven Ways To Get Your Next Media Job

A few weeks back I referred to a strategy that I used to teach my students at USC when they had their first big job interview in the media business.

It's a little different than conventional wisdom but the approach has an almost 100% track record for getting people hired when used as outlined below.

When I first mentioned it, many of you asked me to explain more.

So let's take time out from the 1,850 Clear Channel firings just last week and the never-ending Citadel dismissals and think about your future.

As many of you know I believe the radio and record industries have seen its better days. The future is new&hellip

Seven Ways To Get Your Next Media Job

A few weeks back I referred to a strategy that I used to teach my students at USC when they had their first big job interview in the media business.

It's a little different than conventional wisdom but the approach has an almost 100% track record for getting people hired when used as outlined below.

When I first mentioned it, many of you asked me to explain more.

So let's take time out from the 1,850 Clear Channel firings just last week and the never-ending Citadel dismissals and think about your future.

As many of you know I believe the radio and record industries have seen its better days. The future is new&hellip

Marky Mark’s Clear Channel Pay Cut

There's a new Marky Mark and the Funky Bunch -- it's not Mark Wahlberg.

It's Mark Mays and the private equity firm of Lee Capital Partners and Bain Media.

Forget the Obama inauguration. Closing Gitmo pales in comparison. By now you've heard the real "breaking news".

Marky Mark is taking a bullet for his employees -- a 40% pay cut.

Isn't that impressive?

Even his brother, Randall, is going along with it. Founding Father Lowry Mays' best work -- Randy and Mark -- are voluntarily giving up (and I'm tearing up right now) $875,000 and $895,000 respectively.

For one year.

Then, they go back to&hellip

Marky Mark’s Clear Channel Pay Cut

There's a new Marky Mark and the Funky Bunch -- it's not Mark Wahlberg.

It's Mark Mays and the private equity firm of Lee Capital Partners and Bain Media.

Forget the Obama inauguration. Closing Gitmo pales in comparison. By now you've heard the real "breaking news".

Marky Mark is taking a bullet for his employees -- a 40% pay cut.

Isn't that impressive?

Even his brother, Randall, is going along with it. Founding Father Lowry Mays' best work -- Randy and Mark -- are voluntarily giving up (and I'm tearing up right now) $875,000 and $895,000 respectively.

For one year.

Then, they go back to&hellip

Where Is Radio’s Captain Sully?

In a time of crisis, who would you want in command?

Mark Mays?

John Slogan Hogan?

Or Chesley B. "Sully" Sullenberger, the heroic U.S. Airways pilot who safely landed his A-320 aircraft last week on the Hudson River in New York after a double bird strike crippled the plane's two engines.

Certainly you don't want Mays or Hogan flying an aircraft human beings are on.

And you don't want Captain Sully running the largest radio group in the world even if it is headed for a crash landing.

Or do you?

Yesterday when Clear Channel eliminated 9% of its work force across all its businesses but&hellip

Repeal the Music Tax Exemption for Repeater Radio

The Clear Channel firings are over and what we're hearing is that another 500 or so positions will be eliminated as the private equity firms of Lee Capital Partners and Bain Media have their way with the radio industry.

Tuesday was a tough day for anyone who loves radio and its people. I received hundreds of emails -- many of them touching -- about the disrespectful way the dynamic duo of Lee & Bain and Mark Mays has handled the firings.

Reports that even loyal respected veterans were given the bad word the way everyone else got it and told not to return to their desks.

I mean, was that really necessary?

Is&hellip

Where Is Radio’s Captain Sully?

In a time of crisis, who would you want in command?

Mark Mays?

John Slogan Hogan?

Or Chesley B. "Sully" Sullenberger, the heroic U.S. Airways pilot who safely landed his A-320 aircraft last week on the Hudson River in New York after a double bird strike crippled the plane's two engines.

Certainly you don't want Mays or Hogan flying an aircraft human beings are on.

And you don't want Captain Sully running the largest radio group in the world even if it is headed for a crash landing.

Or do you?

Yesterday when Clear Channel eliminated 9% of its work force across all its businesses but&hellip

Repeal the Music Tax Exemption for Repeater Radio

The Clear Channel firings are over and what we're hearing is that another 500 or so positions will be eliminated as the private equity firms of Lee Capital Partners and Bain Media have their way with the radio industry.

Tuesday was a tough day for anyone who loves radio and its people. I received hundreds of emails -- many of them touching -- about the disrespectful way the dynamic duo of Lee & Bain and Mark Mays has handled the firings.

Reports that even loyal respected veterans were given the bad word the way everyone else got it and told not to return to their desks.

I mean, was that really necessary?

Is&hellip

How To Fire Clear Channel

(Shown with family at Sunday's Eagles game)

Today is Invasion of the Body Snatchers day at Clear Channel stations across the country.

Just as in the 1978 remake of the science fiction movie, Clear Channel employees across the nation are screaming, "They're here already! You're next!"

As of late yesterday, Clear Channel employees were telling me of the staff meetings that were being scheduled for today -- during the distraction to the news cycle of a presidential inauguration. The meetings are probably for those who survived the cuts - the cuts could come earlier in the day and they could use the staff meeting to&hellip

How To Fire Clear Channel

(Shown with family at Sunday's Eagles game)

Today is Invasion of the Body Snatchers day at Clear Channel stations across the country.

Just as in the 1978 remake of the science fiction movie, Clear Channel employees across the nation are screaming, "They're here already! You're next!"

As of late yesterday, Clear Channel employees were telling me of the staff meetings that were being scheduled for today -- during the distraction to the news cycle of a presidential inauguration. The meetings are probably for those who survived the cuts - the cuts could come earlier in the day and they could use the staff meeting to&hellip

Lee & Bain’s New Blueprint for Clear Channel

Tomorrow is Inauguration Day, an historic day when the nation's first African-American President takes office in the United States.

It could also be the day Clear Channel inaugurates its massive personnel cutback strategy.

Some think Clear Channel may do it on Tuesday under the cover of all the publicity of Barack Obama taking office. After all, who will miss hundreds or even thousands of employees as they get their pink slips on the same day as the inauguration.

One thing is for sure. If Clear Channel chooses Tuesday it won't surprise anyone. No company, in my opinion, has taken the low road as often as they have.&hellip

Lee & Bain’s New Blueprint for Clear Channel

Tomorrow is Inauguration Day, an historic day when the nation's first African-American President takes office in the United States.

It could also be the day Clear Channel inaugurates its massive personnel cutback strategy.

Some think Clear Channel may do it on Tuesday under the cover of all the publicity of Barack Obama taking office. After all, who will miss hundreds or even thousands of employees as they get their pink slips on the same day as the inauguration.

One thing is for sure. If Clear Channel chooses Tuesday it won't surprise anyone. No company, in my opinion, has taken the low road as often as they have.&hellip

What To Expect Next From Radio Consolidation

The table is set for more massive personnel cuts in radio -- with Clear Channel's big bang possible within days.

By now, most radio people can see what group CEOs have done over the 12 year history of consolidation and have a pretty good idea what the general effect of more budget cuts will be going forward.

I'd like to share with you what I am seeing and see if it jibes with what you're thinking.

One thing is certain: radio will become a smaller business in almost every way including advertising revenue. Many optimists think radio will recover from the economic doldrums it is presently in as it did when television&hellip

What To Expect Next From Radio Consolidation

The table is set for more massive personnel cuts in radio -- with Clear Channel's big bang possible within days.

By now, most radio people can see what group CEOs have done over the 12 year history of consolidation and have a pretty good idea what the general effect of more budget cuts will be going forward.

I'd like to share with you what I am seeing and see if it jibes with what you're thinking.

One thing is certain: radio will become a smaller business in almost every way including advertising revenue. Many optimists think radio will recover from the economic doldrums it is presently in as it did when television&hellip

The Rise & Fall of Radio’s Third Reich

While we're all waiting around for the mass firing of many Clear Channel employees (expected any time now), don't think that Citadel's Farid "Fagreed" Suleman and his wife, Judy Ellis, aren't doing a little nip and tuck.

A snip here at KGO. More firings -- the first in years under arguably the best general manager in radio, Mickey Luckoff. I'm told it was done with the usual class he has shown over his long career. KGO has benefits as part of a union contract negotiated with ABC before Fagreed which is why Luckoff's employees are fortunate. Luckoff obviously was pressured to do the layoffs by you know who.

Even&hellip

The Rise & Fall of Radio’s Third Reich

While we're all waiting around for the mass firing of many Clear Channel employees (expected any time now), don't think that Citadel's Farid "Fagreed" Suleman and his wife, Judy Ellis, aren't doing a little nip and tuck.

A snip here at KGO. More firings -- the first in years under arguably the best general manager in radio, Mickey Luckoff. I'm told it was done with the usual class he has shown over his long career. KGO has benefits as part of a union contract negotiated with ABC before Fagreed which is why Luckoff's employees are fortunate. Luckoff obviously was pressured to do the layoffs by you know who.

Even&hellip

Repeater Radio Horror Stories

From day one of consolidation, radio groups became obsessed with the wrong thing -- saving money instead of making it.

Back then, group executives used to show me blueprints for local radio hubs that would allow all their newly acquired stations to operate under the same roof. Of course, this was false economy and an ego exercise for consolidators who eventually paid the price for taking their eyes off the prize.

Revenues began to decline. Listening fell off -- especially in the crucial next generation demographic and then lately the recession slammed the door.

In all that time, radio as an industry failed to come&hellip

Repeater Radio Horror Stories

From day one of consolidation, radio groups became obsessed with the wrong thing -- saving money instead of making it.

Back then, group executives used to show me blueprints for local radio hubs that would allow all their newly acquired stations to operate under the same roof. Of course, this was false economy and an ego exercise for consolidators who eventually paid the price for taking their eyes off the prize.

Revenues began to decline. Listening fell off -- especially in the crucial next generation demographic and then lately the recession slammed the door.

In all that time, radio as an industry failed to come&hellip

At Clear Channel, Less Is Finally Less

It's apparently the calm before the storm.

Clear Channel managers who attended last week's corporate meetings are now back at their local stations and waiting to carry out the executions mandated by the company.

Tom Taylor reported in Radio-Info that one of his readers heard that "change" at Clear Channel would come on inauguration day, the same time Barack Obama's change speech will be delivered by the new president.

One of my Clear Channel readers reported that several staffers were in behind closed door meetings to start the week out. Everyone is on edge which is&hellip

At Clear Channel, Less Is Finally Less

It's apparently the calm before the storm.

Clear Channel managers who attended last week's corporate meetings are now back at their local stations and waiting to carry out the executions mandated by the company.

Tom Taylor reported in Radio-Info that one of his readers heard that "change" at Clear Channel would come on inauguration day, the same time Barack Obama's change speech will be delivered by the new president.

One of my Clear Channel readers reported that several staffers were in behind closed door meetings to start the week out. Everyone is on edge which is&hellip

A Survival Plan for Radio

"If you're going through hell, keep going" said Winston Churchill.

That best describes the critical situation the people of the radio industry find themselves in again this week -- perhaps the most crucial in the history of the business.

Clear Channel is getting ready to implement the Lee & Bain plan to drastically cut personnel while swinging to a model of national syndication in order to further cut costs.

What is likely -- perhaps as soon as this week -- is the unraveling of local radio as we know it for the repeater station concept -- especially in the non-major markets. So what we could soon see is radio&hellip

A Survival Plan for Radio

"If you're going through hell, keep going" said Winston Churchill.

That best describes the critical situation the people of the radio industry find themselves in again this week -- perhaps the most crucial in the history of the business.

Clear Channel is getting ready to implement the Lee & Bain plan to drastically cut personnel while swinging to a model of national syndication in order to further cut costs.

What is likely -- perhaps as soon as this week -- is the unraveling of local radio as we know it for the repeater station concept -- especially in the non-major markets. So what we could soon see is radio&hellip

Radio’s Soul-Sucking Survival Jungle

One of my readers came up with this story idea -- he coined the term used in the headline.

We often write about the silly and sometimes stupid decisions being made by radio CEOs these days, but sometimes we forget to see things from the perspective of the loyal and dedicated radio person who is being adversely affected by bad management.

Yesterday, the hits kept on coming as Clear Channel's rep firm, Katz, decided to lay off 122 people. For starters, these are not layoffs. They are firings. Layoffs is the word used by the radio group to spin what it really is -- firings.

Meanwhile hundreds of Clear Channel managers&hellip

Radio’s Soul-Sucking Survival Jungle

One of my readers came up with this story idea -- he coined the term used in the headline.

We often write about the silly and sometimes stupid decisions being made by radio CEOs these days, but sometimes we forget to see things from the perspective of the loyal and dedicated radio person who is being adversely affected by bad management.

Yesterday, the hits kept on coming as Clear Channel's rep firm, Katz, decided to lay off 122 people. For starters, these are not layoffs. They are firings. Layoffs is the word used by the radio group to spin what it really is -- firings.

Meanwhile hundreds of Clear Channel managers&hellip

Radio Jumping the Shark

So, remember all those threats and accusations against Arbitron's People Meter practices made by minority broadcasters, the States of New York and New Jersey?

Now you can forget them.

That's what New York's overly ambitious Attorney General Andrew Cuomo said yesterday when his office announced a settlement in the farcical suit he perpetrated on Arbitron for successfully selling the People Meter to the marketplace there.

Arbitron came away the winner.

Radio the loser.

Some minority groups simply wasted their valuable political capital.

Arbitron stock was up 18% on a day the market lost 245 more points&hellip

Radio Jumping the Shark

So, remember all those threats and accusations against Arbitron's People Meter practices made by minority broadcasters, the States of New York and New Jersey?

Now you can forget them.

That's what New York's overly ambitious Attorney General Andrew Cuomo said yesterday when his office announced a settlement in the farcical suit he perpetrated on Arbitron for successfully selling the People Meter to the marketplace there.

Arbitron came away the winner.

Radio the loser.

Some minority groups simply wasted their valuable political capital.

Arbitron stock was up 18% on a day the market lost 245 more points&hellip

iGoofed — Radio & Records Big Mistake

You may think it is a big deal that Apple is making significant changes to its iTunes pricing structure, but young people on a whole do not.

And they buy most of the hit music that drives the industry.

Apple announced that variable pricing -- the thing the big labels have been screaming for since iTunes caught on -- is coming in a few months.

There will be three tiers of pricing to replace the single 99 cent standard that Apple has just as strenuously fought to keep.

Until now.

Starting in April the least popular songs on iTunes will cost 69 cents. Others will be priced at 99 cents and the hottest hits&hellip

iGoofed — Radio & Records Big Mistake

You may think it is a big deal that Apple is making significant changes to its iTunes pricing structure, but young people on a whole do not.

And they buy most of the hit music that drives the industry.

Apple announced that variable pricing -- the thing the big labels have been screaming for since iTunes caught on -- is coming in a few months.

There will be three tiers of pricing to replace the single 99 cent standard that Apple has just as strenuously fought to keep.

Until now.

Starting in April the least popular songs on iTunes will cost 69 cents. Others will be priced at 99 cents and the hottest hits&hellip

Repeater Radio

My old mentor, the radio program director Paul Drew, used to tell me about an idea he had where a campus would be built for a national radio company in Southern California -- he cited the weather and abundance of talent for his choice of the location (not in that order).

PD (as I called him) believed that great radio could be done in one location allowing for many economies of scale and yet providing customized local programming to individual stations in their markets.

I understand he took the idea to a couple of CEOs at the time -- back in the 1990s -- and received no traction for the concept.

Funny, isn't&hellip

Repeater Radio

My old mentor, the radio program director Paul Drew, used to tell me about an idea he had where a campus would be built for a national radio company in Southern California -- he cited the weather and abundance of talent for his choice of the location (not in that order).

PD (as I called him) believed that great radio could be done in one location allowing for many economies of scale and yet providing customized local programming to individual stations in their markets.

I understand he took the idea to a couple of CEOs at the time -- back in the 1990s -- and received no traction for the concept.

Funny, isn't&hellip

Dr. McMeany Set To Amputate Clear Channel

Clear Channel is holding that much-dreaded managers meeting in Dallas tomorrow and Wednesday.

It promises to be the most non-productive, morale busting gathering ever.

Only the GMs are invited this year (yeah, yeah -- to save money). No Sales Managers. Those buyout buddies who bought the company at Lee & Bain (also known as Lee Insane) have decided that sales isn't that important.

How do I know this?

Well, if it were, you'd think they would invite the sales managers to participate with the huge recession year looming. Of course, we already know what Clear Channel thinks of program directors.

An&hellip

Dr. McMeany Set To Amputate Clear Channel

Clear Channel is holding that much-dreaded managers meeting in Dallas tomorrow and Wednesday.

It promises to be the most non-productive, morale busting gathering ever.

Only the GMs are invited this year (yeah, yeah -- to save money). No Sales Managers. Those buyout buddies who bought the company at Lee & Bain (also known as Lee Insane) have decided that sales isn't that important.

How do I know this?

Well, if it were, you'd think they would invite the sales managers to participate with the huge recession year looming. Of course, we already know what Clear Channel thinks of program directors.

An&hellip