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iHeartMedia does more than radio they also previously owned a bunch of television stations and do billboard advertising. You may recognize their former name "Cl
by wolfspider 9y ago
iHeartMedia does more than radio they also previously owned a bunch of television stations and do billboard advertising. You may recognize their former name "ClearChannel" a little bit better. I would say this not only signals how difficult it is to make money from radio broadcast but how difficult it is to make money from any type of broadcast. They make use of a bunch of towers and satellites which I think is probably where the returns are failing in comparison to the internet. That whole industry needs to change anyways they are all living in a different age. This is what happens when the leadership of such a big corporation becomes so exclusive they fail to adapt and promote people with fresh ideas. They live an extremely narrow vision of reality- so now this vision is paying them all back the dividends that they earned.
- guyzero 9y agoiHeartRadio makes billions of dollars in revenue every year, they just can't keep up with their debt payments from the leveraged buyout. Radio ads make plenty of money and stations aren't really that expensive to run. edit: to be more specific, in 2016 they had $1.5B of operating income which is great. Too bad they had $1.8B of debt payments.
- 220V_USKettle 9y agoAlso, outdoor advertising is quite profitable as well.
- guyzero 9y agoI think the outdoor advertising arm has been sold off from iHeartRadio. https://www.iheartmedia.com/press/clear-channel-outdoor-holdings-inc-sells-interest-adshel-joint-venture-partner-apn-news-media https://www.iheartmedia.com/press/clear-channel-outdoor-hold...
- dv_dt 9y agoFiling for bankruptcy strongly implies that that can't keep it up...
- username223 9y agoThanks for the reminder. Clear Channel is/was a sort of corporate vampire, moving from local radio, to billboards, to concerts, using one monopoly to leverage the next, extracting its value, and leaving the corpse to rot. I wouldn't be surprised if Sinclair Broadcasting is now trying a similar play with local TV.
- bmm6o 9y agoYeah, on the one hand I'm not sad to see Clear Channel die and maybe we can get some local variety on the radio again (at least until someone executes that plan again). On the other, it's another instance of the capitalists destroying a company for profit. Thanks, job creators!
- mywittyname 9y agoThere's still Entercom, SBC, and Cumulus to keep the oligopoly going. Interestingly enough, Bain Capital has been involved with helping all four of these companies consolidate the media landscape of the US.
- deleted 9y ago[deleted]