TORONTO – While many of their radio brethren have either hopped on board one of the Canadian satellite radio license-holders or appealed to the government to rescind the licenses, Corus Radio and Rogers Radio have stayed on the sidelines.
During a conference call with financial analysts Thursday, Corus Entertainment CEO John Cassaday said that while he envisions some impact from Canadian Satellite Radio and SIRIUS Canada, they’re nothing but new competitors to overcome.
“Our view is that it is possible over time that there will be some impact on in-car tuning to radio but we believe that’s, in all likelihood, three years away. In the meantime, we’re really focusing on making sure that we program ourselves to the best extent possible,” said Cassaday, meaning his stations will focus tightly on their local markets.
“We have a saying at Corus that satellite radio is not anthropological – in other words, there is no real human connection in it – and the benefit of local radio is the ability to connect with people at a local level and to be able to talk about the issues of the day.”
“Unlike many who have been moaning and worried about the impact of satellite radio – we simply view it as another competitive threat that we’re convinced we can combat,” Cassaday added.
A Rogers spokesperson confirmed for www.cartt.ca that it has no plans for a regulatory fight, just a marketplace one.
As reported by www.cartt.ca earlier this week, a broad base of cultural agencies and broadcasters (led by CHUM Ltd. and Astral Media) are appealing the licensing of CSR and SIRIUS Canada to federal cabinet. They say that the licenses flout the Broadcasting Act and will lead to other content distributors (like satellite and cable TV) asking for the same split in foreign to Canadian channels. SIRIUS and CSR have to carry one Canadian channel for every eight American ones. Cable and DTH face far more stringent linkage rules and the fear is that the video deliverers will try to get the same rules.
And, as those satellite radio objectors have pointed out, Rogers Radio’s sister division is Canada’s largest cable company, Rogers Cable; while Calgary’s Shaw family – which owns Shaw Cable and Star Choice – also owns control of Corus.
– Greg O’Brien
