Less Talk (Shows), More Action
In the age of podcasts, mention of AM radio will conjure up nostalgia for some and confusion for others too young to have experienced the golden age of talk radio. Invented in 1906, AM radio’s popularity has declined with the advent of FM radio, satellite radio, and online streaming as the current preferred entertainment for commuters and those who still listen to radio at home, if any still do. Congress appears to be out of tune; the proposed AM Radio for Every Vehicle Act would mandate that all new vehicles going forward be equipped with AM radio. The question of why is unclear; what is clear is that when consumers want something, like Bluetooth technology in their vehicles, for example, the market tends to respond. When they don’t and when big government simply adds another mandate, the impact to consumers is that added costs on manufacturers get passed down to them.
The bill authors cite public safety as the reason for the proposed mandate. They argue that AM radio can be a source of information in case of a national emergency and a vital platform for government alerts. But while AM radio is able to transmit alerts in rural areas, where other technologies might not be available, research indicates that only 1% of American adults are likely to even receive an alert from AM radio. Individuals are much more likely to get alerts from their mobile device or television.
With few practical benefits, what would the result of the mandate be? More expensive new vehicles fitted with an antiquated product that very few drivers use anymore. Car manufacturers have begun to shift away from AM radios since there is little demand and they can cause problems in electric vehicles. Specifically, AM radio can actually interfere with the car’s system and requires expensive additional steps to reduce the interference. Those who want to purchase electric vehicles will only face higher costs.
If access to emergency alerts and information is important to Congress, they can look to the tens of billions they are spending to expand access to broadband networks. Ensuring that this money connects rural areas is more helpful than more government red tape on new cars.
The way we access information and entertainment have come a long way since 1906. Consumers routinely tell the market what they find most useful and where further innovation should occur. It’s not the government’s job to tell manufacturers how to innovate and certainly not whether to preserve old products or technologies that consumers don’t indicate they want or need.