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Music Labels Want to Break Your Phone, with Radio

HypeBot Source: HypeBot

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Music labels and radio broadcasters are lobbying Congress in hopes of making it mandatory for cell phones, PDAs, and other portable devices to have FM radio receivers built in. Rather than adapt to the changing market, it seems as if radio favors the idea of artificially propping up its legacy institution—and business model—by any means necessary.

Just as many have argued that radio's days are numbered, they've attempted to slide in the back door and stay lodged in your pocket forever and ever and ever. President of the CEA Gary Shapiro strongly asserted that this move “is the height of absurdity" and “not within our national interest."

At first, the bill in discussion had nothing to do with mobile tech and everything to do with whether or not radio should have to make royalty payments to record labels. It has been proposed that both sides might forgo all of this and strike a “grand bargain" that would entail radio broadcasters playing around $100 million a year and in return it would get access to a larger market, one afforded to them through the mandated FM enabled mobile devices. Another bill on Capitol Hill.

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