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The Satellite Radio Threat

Speaking Monday at the Noble Financial Conference in Charleston, SC, Emmis Communications CFO Patrick Walsh was asked about the threat to terrestrial radio from satellite radio. Walsh responded, “We at Emmis have viewed the threat as being much more fragmentation from the iPod and Internet streaming and the fragmentation from media, whether it be YouTube or other media being delivered on the Internet just fragmenting peoples’ time.

“A great empire, like a great cake, is most easily diminished at the edges,” said Benjamin Franklin. What the media who ask these questions need to understand is that virtually all threats to radio will impact the edges, not the heart. We are not going to wake up one day irrelevant. We will wake up every day less relevant.

Unless we commit to be where the audience is going rather than where they’ve been.

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