Nab Portlet : NAB Event News

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HD RADIO ON THE CHEAP – IS IT A BARGAIN? Apr 14, 2008 - 11:52:58 AM

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By Dan McGinty

At Sunday’s HD Radio press conference, NAB Chief David Rehr introduced the HD Radio Technology Advancement Task Force’s nearly completed development project. What’s been in the works for the past year is an “embedded exporter” that makes it cheaper and easier for broadcasters to jump on the HD Radio bandwagon. 

The device, soon to be available in different varieties from BE, Harris, Nautel and Continental Electronics is the fruits of a million-dollar plus investment from NAB, cuts costs about 20%.  That means the get-in price that had been $50,000 will soon drop to $40,000, opening the door to small and mid-market stations. This, combined with the CE manufacturers that are apparently getting on board, should take this to the tipping point that will trigger widespread acceptance. It will mark a new phase of radio’s history, sure to be as popular as when FM stereo took off a generation ago. What’s not to like?

Carolyn Beasley, Chair of the Task Force, and Steve NewBerry, Vice Chair of the NAB Radio Board followed Rehr telling of the origins and execution of the project.  After, Bob Struble of iBiquity opened comments from the top manufacturers of the compact 1RU units including representatives from BE, Continental Electronics, Harris and Nautel.

While the energy and enthusiasm from the presenters was high, turnout for the event was low.  The presenters, their associates, and NAB officials may have outnumbered press and visitors.  Altogether, only about 25 were on hand. A crew of three photographers snapped a load of pictures of the crowded dais, but none of the room strewn with empty seats.

It may be that this less-than-impressive turnout means nothing, or it may be an apt reflection of the lukewarm reception for HD Radio. Now, it’s grown from a mere 800 stations at NAB 2007 to 1,600 today.  Still, universal coverage is crucial for the consumers to get aboard.  Prices for receives are down to as low as $80, so what’s it going to take to spark this into a consumer explosion?

What wasn’t mentioned was the competition radio now faces on so many fronts.  If $80 is a tough investment for a consumer for free over-the-air listening, why are they willing to spend more than twice that for iPods – plus the investment in content.  What went unspoken is a fear that cannot be uttered – what if HD Radio flops?  With a rising generation listening to portable audio devices instead of radio plus the inevitability of ubiquitous wireless broadband, HD Radio may prove to be a major misstep.