Monday, March 5, 2007

"The mp3 Killed the Radio Star"

iPod or Satellite Radio?

That is the question the movers and shakers of these two consumer music formats have been trying to answer for the last couple of years. Which of these will shine in the long run?

The basic similarity between the two are the commercials and the D.J.’s...there are none. Check that...satellite radio does have Howard Stern. The difference between an iPod and satellite radio is the music. And herein lies the biggest reason why the world of iPod has flourished, and satellite radio is fizzling.

Being an ex-radio DJ, I got fed up with commercial radio’s “live” announcer dribble and the incessant parade of obnoxious (and ineffective) commercials many years ago. I just couldn’t stand listening to either of these distractions when all I wanted to hear was my favorite tunes...with a sprinkling of new stuff once in a while. That is what I wanted. And apparently, that is what everyone else truly wants coming out of his or her car radio as well.

Long before Steve Jobs and Apple made that leap of faith into mass production of a portable mp3 player for customized music playlists, I was making my cassette “mix-up” tapes. I recorded my favorite songs from vinyl to cassette, in the order I wanted...changing them as often as I wanted. When I got tired of one or all of these cassettes, I just recorded new playlists over them. It was fun, and I even enjoyed the editing and recording process. After all, I was a radio D.J.! I had tons of records. And every stereo system with a cassette player had the ability to allow this transfer of tunes.

Then, along came mp3 players...specifically, the iPod. Now, with the aid of any computer, one could make their own “mix up tapes” in the next generation, ie, transfer your favorites tunes from CD to a portable player. Voila! Now everyone is a D.J.! In addition, the assembly of these custom playlists was much easier than the transfer of vinyl to cassette. Just drag and drop song titles on a computer screen.

Then there was satellite radio. Cut to about the same time period as when the iPod came out...2001. The birth of a system whereby anyone could have a “radio” system in their car that received signals via satellite. And these signals would offer a huge selection of music formats, talk radio formats, and sports news formats...sans commercials...but for a fee. Yes, for those who haven’t looked into satellite radio yet, there is a monthly subscription fee to receive this service, just like satellite and cable T.V. Did ‘ya think it was going to be free? In addition, one must purchase one of the hardware systems required to be installed in your car and connected to the existing radio. The basic cost of one of these receivers is about $100 and up. In fact, some major auto manufacturers bought into the satellite radio “craze” and started putting it in their cars at the factory, in hopes of attracting more buyers for their models. (Insert loud Family Feud type buzzer sound here). “Survey says...!” The projected mass interest in satellite radio just wasn’t there...and still isn’t.

In the investment world, this has meant the loss of billions of dollars to the people who sank all or parts of their nest eggs in this thing. Remember the scene from the Albert Brooks movie, Lost in America? His wife put all of their nest egg on the number 22 in a roulette game in Vegas. Not once, but over and over again...until it was all gone. In the case of satellite radio, the cost of a share in 2000 was around $ 60...by 2002, it had plummeted to $ 1...settling at $ 3 soon after. The proposed merger between two satellite radio “giants” is supposed to improve upon this situation, but their is a lot of skepticism surrounding this corporate investment band aid. The question still remains...is it going to save satellite radio?

By the way, the only person who’s invested interest in satellite radio didn’t plummet? Howard Stern (not the Anna Nicole Smith Howard Stern), the radio Howard Stern. He is purported to have pocketed $ 500 million for signing on. And, evidently, his “numbers” (volume of listeners) dropped to a 10th of what they were when he was “on the air”.

I have had an iPod since they came out. In fact, I am on my third generation iPod. I listen to it in my car by way of a small attached device called an iTrip, transmitting the iPod signal through my car radio. Admittedly, even the latest version of iTrip sucks at times. But...you can plug your iPod directly into your car radio since most every car player now comes with a small mini-plug jack on the front. And, the latest generation iTrip device works much better now.

The bottom line? Maybe the merger will help. Maybe not. I had planned to get a car satellite radio, which, by the way, can be played at home through your home stereo. But that probably won’t happen. Why? That’s the question i keep asking myself! Why should I? The music playlists available on satellite radio are many. But the repetition of songs is just as bad as commercial radio. They repeat the same songs over and over again...most of which, I don’t want to hear!

Music is now about playing what you want to hear, when you want to hear it. If I want to hear any so-called “new music”, I ask my 27 year old daughter. She just mailed me another sampler CD of musical artists she likes, songs I might gravitate toward. And you know what? I like most every cut on the CD. If you are over 40 (or 50 like me), and don’t have a son or daughter or friend who listens to new music...try the Adult Alternative channel on your cable T.V. (or satellite T.V.). You’ll find a myriad of recent music to peak the interest of any older listener who isn’t stuck on the greatest hits of Celine, Barbra Streisand, or Englebert Humperdinck. Then, go to iTunes (or the legal mp3 download site of choice) and add to your iPod playlist. My iPod has over 5000 songs on it, mostly oldies from the 70’s and 80’s, and a decent selection of recent stuff. And with an iPod...you can just hit that little arrow...taking you to the next tune. No D.J.’s...no commercials...and enough songs to last for more than week. It tells you right on the iPod how long it would take to play every song!

For those who lean toward the AM-type talk shows, there will always be radio. If you want to hear Howard Stern or Rush Limbaugh blathering about whatever they blather about...it will always be available. But for those of us who want clear, clean, commercial and D.J.-free digital music...music of our choice...there is no other alternative.

An old 80’s song by the Buggles said “Video Killed the Radio Star”. The updated version should be called “The mp3 Killed Radio”...satellite or otherwise.

Yours truly

Yours truly
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