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Thursday, June 14, 2012

(AUDIO) Cell Phones With FM Chips Are "Dead as a Doornail."

6-12-2012

Those are the words of Consumer Electronics Association President and CEO Gary Shapiro who we spoke with yesterday about his congressional testimony on "The Future of Audio." Shapiro has been the strongest opponent of the FM chip idea, especially when it comes to involving the government. Shapiro says there is no consumer demand for the chip, radio listenership is down and he doesn't believe broadcasters when they say they are not looking for a mandate. Obviously broadcasters disagree, saying Shapiro is "just wrong."

Shapiro says the writing is on the way, 47% of people in a survey he cited in his testimony listen to radio less then they did a year ago. Listen to our interview with Shapiro HERE

Emmis CEO Jeff Smulyan, who has been the driving the FM chip issue, says Shapiro is wrong and this is not dead. "We have had countless members of Congress requesting, even demanding that there be a study of this issue. He also says let the market decide. It is clear that there is no free market on this issue in the United States.  Everywhere else in the world, people can walk into stores and decide to buy a phone with an FM radio. In the US, there was no opportunity until recently, because the carriers have blocked the phones and even now, any information about phones with FM is never distribute. Well over a billion phones have been sold around the world with FM, only in the US has the consumer been denied the opportunity. Why is he so afraid of Congress studying this issue?  Why is he so afraid that chips that are already in millions of phones in this country be turned on.  People have already paid for those chips in the phones, why shouldn?t they have the ability to have access to them?"

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