XM Ordered To Place Ads On Four Music Channels (regarding Clear Channel)

Billboard Radio Monitor ^ | March 07, 2006 | Sven Philipp

[It Aint Easy]

Sirius Satellite Radio may soon be able to claim that it is the only satcaster with 100% commercial-free music channels.

An arbitration panel has ruled that XM Satellite Radio will have to introduce advertising on some of its commercial-free music channels. The ruling resolves a legal dispute with Clear Channel, who made a 1998 investment in the satcaster, gaining control over four of XM’s music channels, which now represent 2.5 percent of the satcaster's 160-channel subscription radio menu.

As an early investor in XM, Clear Channel has owned the right to program four music channels, but both companies have disagreed on the right to include commercials on those channels. In a statement given to Billboard Radio Monitor, XM spokesperson Nathaniel Brown confirmed that an arbitration panel has ruled that “Clear Channel is entitled to include commercials on the music programming it provides XM.”

Over the next few months, as ads launch on those four Clear Channel-controlled channels, XM will add four new commercial-free music channels, in an attempt to offset the change and ensure that subscribers will see no reduction in the total number of commercial-free music channels. “We are firmly committed to maintaining commercial-free all the music channels XM itself creates,” Brown added.

The investment deal between Clear Channel and XM was made in 1998, before XM made its music channels commercial-free.

The satcaster has not confirmed what kind of music programming these new music channels will offer. However, XM has already added two new commercial-free music channels, Big Tracks (classic rock) and XM-chill (ambient, electronica and downtempo rock), which both launched on March 1.

[It Aint Easy]

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[It Aint Easy]

Sorry about being so behind on this pinglist, will try to catch up with new articles. Let me know if you want off if you ever do. =)

[BurbankKarl]

I am still unclear as to what channels this article is talking about. I think XM started 4 new channels...and there are even more on the online feed.

And AOL Music has 200 channels....

[Rokurota]

So what four channels are going to have commercials? The article wasn't clear on that.

[It Aint Easy]

I think it maybe the Kiss channel, (21)?. It's been awhile since I've listened to XM but I'm pretty sure that Kiss 21 is a channel from a city. The other 3 are totally a guess.

[BurbankKarl]

Okay, I checked out XM411.com

sample post



I hope that when the contracts end for Nashville, KISS, Mix and Sunny that XM gives them all THE BIG F****G AXE!

[newzjunkey]

Clear Channel has helped destroy free-to-air music radio.

[martin_fierro]

No ads for Real Jazz & Beyond Jazz channels, I hope.

[ottersnot]

So what four channels are going to have commercials,/i>

The four I will never listen to. Not even the major leauge channels have commercials if I recollect.

[PAR35]

That didn't last long, did it. Let's see how long it takes to spread to some of the other channels.

[Caipirabob]

Something like this was predicted by one FReeper asking "How long will it be before Sat-Radio is compelled to air commercials". Interesting.

[Doohickey]

There's nothing that ClearChannel can't screw up, is there?

[Doohickey]

Satellite radio broadcasts all sorts of commercials. Just not on the music channels (until now).

[Atlas Sneezed]

Sounds tolerable and temporary.

Rock fans should note the March 1 change. Somehow, with thye addition of 49 Big Tracks, Top Tracks 46 and Deep Tracks 40 have gotten MUCH better! Give them all a listen if you are inclined. Especially Deep Tracks, which went from 70s stoner Yes, ELP to a nice mix of famous artists doing unfamiliar recordings, and unfamiliar artists doing famous songs. More Hendrix, Steely Dan, Knopfler, etc.

[Atlas Sneezed]

Thank you. This is merely about XM having outsourced programming for 4 (lame) stations, and now being obliged to air commercials on those stations for the duration of the contracts.

My vote: BRING BACK "On The Rocks!"

[good old days]

I miss "On the Rocks" so much!

[Paraclete]

yup. hated to see that one go. It is available on XM online, though.

[VeniVidiVici]

XM will add four new commercial-free music channels, in an attempt to offset the change and ensure that subscribers will see no reduction in the total number of commercial-free music channels. “We are firmly committed to maintaining commercial-free all the music channels XM itself creates,” Brown added.

Good for them. I refuse to listen to the commercials on sat. That's what drove me from "free" radio. The constant blathering was getting to be too much.