With broadcasters and those in associated industries ready to make their annual pilgrimage to Las Vegas for the NAB Convention, the Wall Street Journal decided to weigh in on an issue important to many radio broadcasters – the future of AM in the car.  One of the priorities for many AM broadcasters in the last year has been to push for legislation to require that automobile manufacturers retain AM radio in the car dashboard to stem what many see as a trend toward removing AM (and potentially other free over-the-air radio options) from the car and replacing it with other entertainment options.  The concerns of broadcasters have led to the introduction in Congress of the AM in Every Vehicle Act, which proposes to mandate that AM be required as a safety feature in all cars until it is determined that there is another, free, ubiquitous option to deliver emergency alerts to drivers.  See our articles here and here for more on the Act.

While this Act has garnered much support on Capitol Hill, there has been a concern among some legislators about requiring mandates on a car industry, particularly for a technology that many see as outdated and in decline (see the declining numbers of AM stations we noted in our last weekly update on regulatory news for broadcasters, citing the FCC’s latest report on the number of broadcast stations in the country).  The Journal Editorial Board article takes that same position, almost treating the attempts to keep AM radio in cars as a joke, arguing that it imposes additional unnecessary costs on car makers – costs that will be borne by all car buyers, even those who don’t need or use AM radio.  The article suggests that the emergency communications function is unnecessary as there are other alternatives to receive emergency alerts even in rural areas of the country.  The article asks if mandating AM in the home is next, and suggests that, without a mandate, car makers could use AM as a competitive feature to attract consumers to brands that maintain these radios in the car.