Clear Channel wants to get bigger

A facsinating piece on NPR's Morning Edition today concerning media giant Clear Channel. The company is the country's largest broadcaster and the world's largest concert promoter. But profits and stock prices have been down recently, so the company is considering spinning off its concert promotion and billboard companies.

But that's not all.

The company says it needs to own more radio and television properties. At the moment, it cannot because it's already hit the cap set by law. But Clear Channel president Mark Mays wants the government to "step up and step back." Specifically, he wants his company "unshackled" from ownership caps and public interest requirements. There's nothing new in broadcasters wanting to unburden themselves from serving the public interest where profits are involved; what's significant about Mays' comment is that he is so open about it.

There is a way for broadcasters to be completely unshackled from government regulation: Some have suggested that rather than letting broadcasters use the public air waves for free, they could pay for frequencies at auction (as cell phone companies do), then let the market take over from there.

Despite concerns over audiences and diminishing advertising revenues, broadcasting is a profitable business. One big market property I visited recently has a stagggering 75% profit margin.

Also: "Not Necessarily the News," a critique of another giant broadcast chain, Sinclair Broadcasting (GQ)