AM is still a valuable medium. Maybe in 10 or 15 years, the above postings may be true. But of the top earning radio stations in the country, many of them are still exclusively on the AM band: WCBS, KFI, WINS, WFAN, WGN, WLS, KYW, KGO. In the LA market, about half the FM stations don't earn what KNX earns. And KFI I believe is right behind KIIS in earnings.
So predictions of AM's demise are premature. Even a so-so AM station higher on the dial in a decent sized market sells for close to a million dollars.
And Merlin Media might have scared CBS into flipping an underperforming FM station in Chicago to News. But I think now that Merlin Media's stations in NYC and Chicago are so odd and poorly programmed, I'd bet CBS is thinking it over-reacted in giving WBBM an FM signal.
Remember. A new AM-FM combo has to earn more money than the separately programmed stations did or it makes no sense. Would a new KFI-AM-FM earn more money than KFI on AM and KHHT on FM earn? I don't think so. I think as the number of second and third generation Hispanics grows in LA, KHHT playing rhythmic hits of the 70s, 80s and 90s can only grow. You'd never turn off the 640 signal or flip it. 640 is ALWAYS the highest rated LA station in the Riverside Market. And all those listeners are imbedded in the LA ratings.
I've discussed before why KNX and KRLD Dallas, of all the CBS All-News stations, under-perform. I don't think it has to do with being on AM. People in the Sunbelt for some reason don't support All-News stations. In many Sunbelt markets they don't properly support any spoken-word station, be it AM or FM, News, Talk or NPR. The reasons should be discussed on another thread. But I don't think KNX moving to FM would help much in LA. Blowing up one of the CBS FM stations in LA would not earn more money for a new KNX-AM-FM than keeping KNX only on AM, even if Merlin Media puts its odd news-and-fluff format on 93.9. All the CBS FM stations are in the Top 12 in the latest ratings. They're all earning good money.
(By the way, CBS parked its legendary NYC call letters WNEW on an Urban AC station in West Palm Beach that doesn't use its call letter except at the top of the hour I.D. CBS can keep its KFRC call letters in another market in the event it wants to bring them back to S.F. someday. It could move KCBS-FM to SF and rename 93.1 as KLAJ or KJCK or something like that.)
People thought radio would kill newspapers. People thought TV would kill radio and movies. AM radio will be with us for many more years to come.
Gregg
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