U.S. Automakers ‘Not Rushing to Commit’ to HD Radio - Radio World

U.S. Automakers ‘Not Rushing to Commit’ to HD Radio

“We’re investigating HD Radio and we’ll probably make a decision in six months. When you add up the cost, it’s a lot of money.”
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“We’re investigating HD Radio and we’ll probably make a decision in six months. When you add up the cost, it’s a lot of money.”

That’s a quote from a technology manager at Chrysler. Reuters reports that officials at GM and Chrysler are “not rushing to commit” to HD Radio in their vehicles, which “would cost the struggling Big Three U.S. automakers as much as an estimated $600 million annually to install.”

An executive with the GM unit OnStar is quoted saying, “We don’t know if there’s demand there or not and we’re not inclined to test that market.” He called HD Radio “a fairly expensive proposition” for the carmakers.

Reuters quotes HD Digital Radio Alliance leader Peter Ferrara saying there are 11 automotive manufacturing agreements covering 55 car models. But none of those are GM, Ford and Chrysler, he said. “They’ve made a conscious decision to wait and see.”

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