LITERATURE REVIEW

“RADIO GA GA GA” FM- The Road ahead

Despite pre-dating commercial television by about 50 years, radio in India lags behind
other media by many a mile in terms of share of the advertising monies – while
worldwide radio garners 5-12% of the advertising monies, in India radio manages less
than 2%. FM signals do not need expensive transmission towers. In mature radio
markets worldwide, the medium has survived the onslaught of commercial television
with the help of FM. FM Radio enables a great degree of localization and hence
brings along interactivity with a local flavour, at relatively low broadcast costs, which
cannot be matched by television. In 1999, the Indian Government decided to allow
private FM stations in India through a bidding process where bids were invited for 32
cities.

“Fact is, AM-FM radio is healthy as ever”

Listening is actually higher among the iPod crowd

By Diego Vasquez
Apr 26, 2007

Digital music devotees are spending as much or more time listening to terrestrial radio
as their non-digital counterparts, according to a study released last week by ratings
company Arbitron. The study suggests these people are simply making more time in
their schedule for different music media rather than weeding the older types out. The
study found that respondents ages 12 and older spent an average two hours and 37
minutes listening to FM radio per day compared with two hours and 45 minutes for
those who listen to online radio, subscribe to satellite, or have ever listened to an
audio podcast. Digital platform growth continues to be slow. The study found the
weekly web radio audience is roughly flat to the past year, at 29 million, or 11 percent
respondents.
Consumer Adoption of New Radio Distribution Systems
By
Constance Ledoux Book, Ph.D.
Elon University &
Don A. Grady, Ph.D.
Elon University
NAB Grant Report
June 2005

Abstract
Since its inception, terrestrial radio has been threatened by a number of competing
technologies. Despite these challenges, radio has continued to thrive, and many
observers have described radio as one of, if not the most, adaptable form of mass
media. The rapidly evolving industry of digital audio programming has introduced a
host of new competitors, including: satellite radio, Internet radio, and personal audio
devices, such as iPods, CD & MP3 players, and now cell phones.
Of the new digital audio challengers, satellite radio has emerged as a potential threat
to terrestrial radio broadcasters.