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iHeartMedia Responds To FCC Chairman Carr’s Recent Payola Questions
This past MONDAY 2/24) FCC Chairman BRENDAN CARR sent a letter to Chairman/CEO BOB PITTMAN questioning iHEARTMEDIA’s artist compensation practices. CARR has requested details on artist payments for the iHEARTCOUNTRY FESTIVAL, citing concerns over potential payola violations if musicians are required to perform for free or reduced fees in exchange for airplay. The company was given 10 days to reply.
YESTERDAY (2/26) iHEARTMEDIA issued a statement:
We appreciate FCC Chairman CARR’s interest in ensuring the radio industry is compliant with all applicable laws and regulations and will be responding expeditiously to the specific questions posed in the Chairman’s letter about iHeart’s upcoming country festival.
The commission’s recent enforcement advisory to the radio industry as a whole stated that manipulating airplay based on artist participation in station events without proper disclosure violates federal laws.
We look forward to demonstrating to the commission how performing at the iHEARTCOUNTRY FESTIVAl — or declining to do so — has no bearing on our stations’ airplay, and we do not make any overt or covert agreements about airplay with artists performing at our events.
The iHEARTCOUNTRY FESTIVAL provides the same kind of promotion that we see with artists on talk shows, late-night television, the Super Bowl, and in digital music performances and events: the promotional value to the artists is the event itself, and, in our case, is unrelated to our radio airplay.
We’re very proud that over the years we’ve had artists ask us to be a part of the iHEARTCOUNTRY FESTIVAL, and in fact, we’ve had artists make repeat appearances over the years because it is an important event that enables them to reach our audiences and enhance their careers.