I would have to say one of the main reasons HD hasn't kicked off is due to promoting themselves in an improper way. It is clear that many are confused about what HD radio actually is. You hear people and some of the top radio stations in the market call it "high definition radio" or "hybrid digital," when technically it is none of those things. If you go to a store and go and ask a worker what "HD Radio" is, odds are they will not have a clue -- at least when I took a trip to Best Buy, the few workers I asked had no idea. If they would do a better job explaining why HD is better, than maybe things would have turned out differently, but I doubt it because a lot of the HD receivers are expensive. Price could be another reason consumers are turned off. Lets be realistic about this. No one wants to go out and spend lots of money for a new radio...especially the way this economy is right now.
Another reason is simply because they were too late. If HD would have come out way before Satellite radio and before many people started turning to iPods and other Mp3 players, maybe things would have turned out differently
Another reason is because they spend way too much time promoting things about the technology that people will not care about as much. For example, the main thing you will hear in their advertisements are more about the sound quality. What about the multicasting? I think more people care about the extra stations than the sound quality. Many consumers are satisfied with the sound quality received on their FM receivers -- so perhaps IBOC was talking about a problem with FM radio that wasn't really there. What consumers care about more is what they hear on the radio more so then the sound quality. So, IBOC needs to start promoting more on the stations you won't be able to hear with a regular FM receiver and forget about the CD Quality FM and the FM quality AM signals.
Now for the future of IBOC & HD Radio:
It is said by some that less than a million Americans own an HD receiver. I hate to be negative, but I think HD will slowly fail -- if they continue promoting themselves the way they do.
It's NOT about the sound quality. It all comes down to the content.
Something else that could help is to put HD receivers standard in automobiles, rather than make them an option. Otherwise, a consumer will just get the regular FM receiver.
If the better prices and the better promoting do not happen, then all the stations that have spent lots of cash to invest in this technology will continue to have their HD signals broadcast to no audience -- because not many people will want to go out and buy a new receiver.
On the other hand, it surprises me that some small markets are investing in the technology. For example, I was surprised to read that KNDE (Aggieland's only hit music station - Candy 95) in College Station, TX was investing in this technology and even going to set up an HD-2 rock station entitled "Aggieland's Rock." I'm not sure when they are going to start broadcast in HD, I'm sure when they do, all those Aggies at Texas A&M will flock out to the store and buy an HD Radio, so they can hear rock on the radio again, after losing 103.9 KXCS to Jack FM (KJXJ). Other stations that are broadcasting in HD is WTAW-AM and Texas A&M's KAMU 90.9 FM. So, looks like Bryan Broadcasting is putting money in to try out HD broadcasts.
As for HD radio in the market I live in -- Lubbock, Texas, I do not see that happening soon or at all. Currently, the only station in Lubbock with an HD signal is Texas Tech's KOHM 89.1 FM. KOHM may be the first station in Lubbock to invest in this technology -- however, it may be the only station to invest in the technology. GAP Broadcasting owns many of the stations in Lubbock, and is one of the few companies that still hasn't invested in the technology (and with the economy today, it might be smart not to for awhile).
Speaking of the economy, I heard Clear Channel and Univision made the list of one of the top 10 companies to possibly go bankrupt this year according to . That is a list that no one wants to make right now. I wonder if HD could be the first thing they will cut to avoid bankruptcy.
So, I could be wrong -- but as of now, I do not think the future for IBOC's HD Radio looks very bright. Check out the google search trends -- and look who has more website hits -- no one wants HD Radio right now.
That is all until next time!
-Brett
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