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Analyst Sees HD Radio Matching Satellite by 2011

Analyst Sees HD Radio Matching Satellite by 2011

HD Radio is expected to catch up to satellite by 2011-12, when some 40 million HD Radios will be in the hands of listeners, according to Wachovia Securities analyst Jim Boyle.
In a research report, Boyle predicts HD Radio growth will mirror the pick-up rate of digital cable, “which grew faster than DBS and eventually caught and surpassed DBS with even more digital cable subs in roughly four years.”
These predictions only hold, Boyle warns, if stations adhere to their announced accelerated conversion schedule.
“The worst thing that could happen with HD Radio is if it is used by the groups to attack one another in existing formats instead of its intended purpose, which is diversity of programming and revenue streams,” notes Boyle, who also refers to radio’s “long-time, bad habit” of “internecine warfare.”
More than 320 stations are on the air with a digital signal and more than 730 are licensed to do so by Ibiquity.