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Where will Howard Stern go next?
Howard Stern
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TEXT OF STORY
Kai Ryssdal: Four years ago, Howard Stern signed a $500-million contract to host a radio show. That was after Stern got sick and tired of dealing with FCC rules about what you can and cannot say on the air. His deal with what was then known as Sirius Satellite Radio expires at the end of this year. And there's talk today that Stern may be returning to the regular old broadcast airwaves.
While he was gone, though, things changed. Sirius merged with its rival XM. And people stopped buying satellite radios and all those pricey subscriptions, too. From Washington, Brett Neely reports.
BRETT NEELY: On his show last week, Stern said he was getting offers to move back to the FM dial. The next day, radio giant Clear Channel said it would love to have Stern on its airwaves. But this week on his uncensored satellite radio show, Stern said he gets offers all the time.
HOWARD STERN: And I always say the same thing. No interest. I don't give a sh-t.
Stern's flirtation with Clear Channel comes as his contract with Sirius XM enters its last year. Negotiations to renew are going to be tough, says media analyst Bishop Cheen at Wells Fargo. Though Stern brought nearly three million listeners with him when he moved to satellite radio four years ago, he says, lately, Sirius has been bleeding red ink.
BISHOP CHEEN: Sirius is faced with some serious budget cutting.
That means Stern isn't likely to get the same kind of salary either at Sirius or Clear Channel. Neither would comment. But Cheen says even if Clear Channel offers more money than Sirius, its offer probably won't be anywhere close to his $500 million deal. The commercial radio business has also suffered during the recession.
CHEEN: At the end of the day, if Howard ends up with a contract that's, I don't know, half of his current contract, he's still doing quite well.
Stern seems happy enough on Sirius. On his show, he said he wouldn't go back to regular radio, regardless of how much he's paid.
STERN: But I don't care, I don't want to be censored when I do a show, I wanna be paid.
But being uncensored could cost him.
I'm Brett Neely for Marketplace.
I would like to see reporting on the question of whether the airwaves are being used in ways consistent with the public interest, or whether most people in fact think that the airwaves are being used in ways that pander to our baser instincts.
Is there a proper balance between spectrum space that is presented merely as entertainment, vs. the amount of space that is devoted to presentation of programming that is enlightening or elucidating? A random sample survey could reveal the answer to this question. Public property rights could provide the intellectual framework for ensuring that the preference of the people is born out in reality.
If you like Sirius XM/Howard Stern, and can stomach re-living the dip to 5 cents/share, then see their “rags to riches†story on DVD. The movie is called “Stock Shock†and it goes over the history, development, and near-death experience of the stock. I did not know the inventor of sirius xm was a woman!–well she is now, at least. DVD is cheaper at http://www.stockshockmovie.com , but the DVD is pretty much everywhere for sale or rent.
You obviously don't watch the news. Sirius isn't faltering. And the music selection is so awesome, I've owned Sirius for three years and have never even tuned into Howard. What's faltering is terrestrial radio. Stern has been smart. Sticking with Sirius will lead to greater success down the road as sat radio become the top game in town, as it is well on its way to doing.
