Thursday, February 4, 2010

A Shrinking Market Needs Howard Stern to Unshrink

So here's another piece on the Howard Stern Sirius negotiations:


It tries a little harder to pretend it's doing real reporting, but it's still full of holes. For example it says "Although there is still tons of money in traditional radio, it's a shrinking industry…"

It's a shrinking industry in part because Howard Stern left. And if Howard Stern came back, the market would expand. Like it did when Howard expanded Sirius from a listener base of less that 600,000 to over 8 million (and then sucked up XM to 18 million and counting) in a few short years.

If Howard returned to traditional radio, the stations he was on would see huge ratings increases. That means more money from advertising, and more money to pay Howard. The math is simple.

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