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Updated: Friday, February 15, 2008
Published: Friday, February 15, 2008 |
NABJ: Include Minority Ownership Provision in pending XM Radio, SIRIUS Satellite Radio Merger
Current merger plans closes the door to minority ownership
WASHINGTON, D.C., Feb. 15, 2008 - The National Association of Black Journalists (NABJ) strongly urges the Federal Communications Commission (FCC) to deny the proposed XM Radio-SIRIUS Satellite Radio merger as it currently is structured.
Simply put, NABJ believes the proposed merger of XM and SIRIUS would create a monopoly in satellite radio and ultimately close the door to opportunities for minority ownership or control in the medium.
NABJ proposes that, if the merger is approved, the FCC should include a provision that mandates XM and SIRIUS agree to lease their broadcast infrastructure and at least 20 percent of their channel capacity on a permanent basis to a minority owner.
This proposal would achieve several important objectives. Among them:
Minority control over a meaningful part of the satellite radio spectrum, the fastest-growing segment of the media industry.
Diversity of programming and free access to a large number of nationwide radio programming channels for consumers.
"The scarcity of minority ownership in broadcast media today is alarming, and is the result of a precipitous decline in African-American ownership of broadcast stations over the past decade, says NABJ President Barbara Ciara. And yet, as appallingly low as the figures are, the cultural erosion of minority ownership in the satellite radio sector of the media industry is destined to be non-existent if the FCC endorses the creation of a monopoly.
In an Oct. 15, 2007, letter to the FCC, NABJ, which is dedicated to promoting fairness in media coverage and expanding entrepreneurial opportunities for journalists of color, relayed its strong belief that media ownership should reflect the racial and ethnic make-up of the country.
According to a recent study by media policy advocate Free Press, African-Americans despite making up about 13 percent of the U.S. population - own just 3 percent of all full-power, commercial radio stations, and just 1 percent of all local television stations. Since 1998, the number of black-owned broadcast stations, television and radio, has dropped by about 30 percent.
The prospect of minority owners having fewer opportunities to reach audiences in this very powerful medium is appalling, says Kathy Times, NABJ's vice president for broadcast. The numbers don't lie. Minorities already are on the outside looking in. To approve the merger without a minority-participation mandate would just make matters worse.
Currently, XM Radio is the nation's top satellite radio provider. It claims more than 8.5 million subscribers, and features more than 170 digital channels. SIRIUS says it has about 7.7 million subscribers and it features programming on about 130 channels.
The proposal to merge the two companies is under review by the Department of Justices Antitrust Division and the FCC.
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