Straus Sofia Alternative Assignment Chapter 4 Radio Goes Digital Radio has become more than AM and FM. Popular radio stations are now streaming live on the internet so people can listen to their favorite stations anywhere in the world. There are also Internet sites devoted to streaming online music anytime they want to. Also there is a new popular form of radio called Satellite radio which charges monthly fee to users to give them the benefit of more stations to choose from and no commercials. Costs for these different forms of Radio vary on form. While AM/FM radio makes their money off of advertisements, they are not required to pay royalty fees for the songs they play because they are viewed more as publicity for the song. The more airplay and popularity the song has on the radio, the more sales go up for their albums and records. Internet radio sites are required to pay .07 a cent cost for airplay which radio stations like Yahoo and AOL asked to pay when playing on their radio stations, while non-profit radio sites are required to pay a less expensive cost for royalties because of the fear that they will become bankrupt. Satellite radio has a monthly fee of about $12.95 to ensure more stations to choose from and limit the play of commercials. The two leading Satellite radio stations are XM radio and Sirius. Many Car companies are now installing these Satellite radio systems in their new vehicles to promote them. XM radio claims to be America's #1 Satellite Radio station and has subscription packages as cheap as $9.99. They offer not only music, but sports news and weather and now they offer navigation systems also.
Source : "XM RADIO SERVICE & Subscription." XM Radio. XM Radio. 21 Feb. 2008 <http://www.xmradio.com>.