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One Step Closer

S

SirRoxalot

The Coming of Age for Internet radio, with its effect on broadcasters and broadcasting, is one step closer with the imminent arrival of AutoNet. Autonet turns your car into a wireless hotspot that will allow any common wireless network device connect to the Internet.

All Access reports that the new service, which is available in almost every area covered by cellular service, will cost $49.00/month, with a one-time cost of $399.00 for the wireless router/transceiver. It uses multiple cellular companies to assure uninterrupted connectivity. No word on the speed of the connection, which could be a limiting factor. Most cellular service currently connects around 128K, but speed increases are on the way as newer technologies are incorporated by cell companies.

Add the emergence of Wi-Fi radios, and you can see the value of radio station licenses spiralling downward.

Broadcasters who focus on providing compelling local content will look like geniuses in five years.
 
SirRoxalot said:
Add the emergence of Wi-Fi radios, and you can see the value of radio station licenses spiralling downward.
Click to expand...

Actually, they are up. Look at the valuations on the Univsion and Clear Channel deals.
 
Perhaps I should have said the future value of radio stations spiralling downward. I thought that would be understood in the context of the post, and the impact of emerging technologies.

Perhaps Clear Channel and Univision are selling now in anticipation of future decreases in value.
 
SirRoxalot said:
Perhaps I should have said the future value of radio stations spiralling downward. I thought that would be understood in the context of the post, and the impact of emerging technologies.

Perhaps Clear Channel and Univision are selling now in anticipation of future decreases in value.
Click to expand...

No, the buyers are acquiring assets at a price they believe is below future value.

Univsion sold because the major and controlling shareholder is in his 70's, while the Clear Channel buyout includes the Mays family in the new entity, so they obviously think they can go private for less than the real value of the company...
 
The assumption is invariably that with all these personalized devices, there will be absolutely no common popular culture, everyone will have a microniched style of music that they like that they will share with almost no one. In a high school classroom of 30 people, not two of the thirty will like the same music. Think that's really going to happen?
 
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