Indy Networks Sue Dial Global for Monopoly Practices

RADIO ONLINE | Monday, August 27, 2012

Talk Radio Network Inc., Talk Radio Network Enterprises LLC and Talk Radio Network-FM Inc. have announced that the filing of a federal action against Dial Global Inc. and multiple other parties, asserting antitrust, anti-monopoly and other claims. In announcing that action, CEO of the plaintiff companies Mark Masters said, "This is a sad but necessary day for us."

He continued, "But the steps we take today are for the sake of the entire community of independent spoken word syndicators, and independent radio networks who depend on outside sale representation for their very financial survival."

Masters says the move is a reluctant one that he feels thry were forced into. "In doing so, we hope this signals a beginning of the end to active monopoly and anti-competitive actions within radio's independent spoken word syndication markets."

The plaintiff companies note that the federal action is necessary, as the "community of independent spoken word producers, syndicators and networks of national radio programming cannot afford for a single company to have critical control of the revenue streams." The announcement declares if one company is permitted to continue to monopolize the sales representation function, it can use that monopoly to form a second generation monopoly which will use the first monopoly to ultimately wipe out independent spoken word programmers, syndicators and networks and replace them with its own programming.

The plaintiff companies point to the recent destruction of CNN radio which was on over 1100 outlets in the U.S. and had been operating for over 20 years. Masters noted, "The sudden death of CNN Radio News, after 20 years, and in a Presidential election year besides, is a veritable canary in a coal mine for independent spoken word syndication in radio."