Broadcasters need to know wireless-industry economics to get addi...

“To have any success with operators, broadcasters must at least position FM-on-handsets as a major cost avoidance solution, if not an overall revenue enhancing opportunity,” wrote Joseph Kraemer, director of the Law and Economics Consulting Group, and attorney Richard Levine. The study was prepared for the NAB technology advisory program, working to include more broadcast receivers in consumer electronics devices (CD June 21/06 p15). Broadcasters might be able to convince some operators to call for FM receivers in their handsets if they can show it will save them money on emergency alerts, the study said. The FCC’s September deadline for carriers to opt in or out of the Commercial Mobile Alert System is an opportunity for broadcasters to show that they offer savings, the study said. That deadline probably will be pushed off because of delays at FEMA -- but broadcasters need to exploit the opportunity soon, because carriers already are exploring options with conventional vendors, the study said. “The further along that operators proceed without considering” FM with Radio Data System “as a potential solution, the more difficult it will be for broadcasters to intervene in the carriers’ decision processes,” the study said. Putting FM receivers into more phones would be good for broadcasters, consumers, carriers and manufacturers, NAB President David Rehr said. “We're confident that the implementation of a new FM-radio feature would result in rapid penetration.”