Home Login RADIO ONLINE RSS Facebook
Advertisement

FCC Investigates iHeartMedia Over Potential Payola Violations


Federal Communications Commission
Federal Communications Commission

The FCC has issued a formal inquiry into iHeartMedia regarding potential payola violations tied to the upcoming iHeartCountry Festival 2025, scheduled for May 3 in Austin, TX. The agency's Enforcement Bureau is investigating concerns that musicians may be compelled to perform at the festival for little or no compensation in exchange for more favorable radio airplay.

In a letter addressed to iHeartMedia Chairman and CEO Robert Pittman, FCC Chairman Brendan Carr underscored the importance of compliance with federal sponsorship identification requirements and payola laws. The letter follows an FCC Enforcement Advisory issued earlier this month, which warned against radio broadcasters engaging in undisclosed arrangements that link artist performances at promotional events to increased airplay.

The FCC's letter raises several key concerns, including whether iHeartMedia is pressuring artists to choose between receiving their standard performance fees or risking diminished radio exposure. Carr specifically requested detailed information regarding artist compensation, the usual industry rates for similar performances, and whether radio airplay decisions are influenced by participation in the festival.

Additionally, the FCC is seeking insight into iHeartMedia's internal policies on payola, its compliance training efforts, and whether it has communicated the Enforcement Advisory to its stations and personnel. The company has been given 10 days to provide responses to a series of detailed questions.

Payola refers to the undisclosed practice of providing compensation or other incentives in exchange for favorable radio airplay. Such schemes violate both the United States Criminal Code and the Communications Act of 1934, which require broadcasters to disclose any financial arrangements affecting programming content. The FCC's Enforcement Advisory reiterated that failure to report such arrangements can result in severe penalties, including fines and imprisonment.

According to the advisory, broadcasters must exercise "reasonable diligence" in ensuring compliance, particularly those with music-driven formats that report to industry charting services. Stations that fail to meet these legal obligations may face regulatory sanctions, including monetary forfeitures.

The investigation underscores the broader conversation about fairness in the music industry and the influence of major broadcasters on artist exposure.

Advertisement

Latest Radio Stories

Connoisseur Ups DiPrima to Station Manager in Long Island
Darren DiPrima
Darren DiPrima
Connoisseur Media has promoted Darren DiPrima from Director of Sales to Station Manager for its Long Island cluster. In the new role, DiPrima will oversee day-to-day operations and serve as a liaison between programming, sales, promotions and operations to help execute the company's overall strategy for the More

Rick Savage Returns to 91X as MD/Morning Host
Rick Savage
Rick Savage
XTRA-FM (91X) San Diego has named industry veteran Rick Savage as its new morning host and Music Director, beginning March 23. Savage, a San Diego native who grew up in Poway listening to 91X, previously worked at the station in the early 2000s. That experience helped launch a radio career that later More

Sean Brace Joins Middays with Marks on 97.5 The Fanatic
Sean Brace
Sean Brace
Sports WPEN-FM (97.5 The Fanatic) in Philadelphia has named Sean Brace as midday co-host joining Jon Marks weekdays from 10am-2pm beginning March 9. Brace reunites with Marks after the pair previously hosted together on The Jon & Sean Show on The Fanatic from 2013 to 2015, where they developed a following More
Advertisement

Corny Koehl Named Senior Fellow at D2C Justice Institute
Corny Koehl
Corny Koehl
Two-time Emmy Award-winning producer Corny Koehl has been named the inaugural Senior Fellow at The Dedication to Community (D2C) Justice Institute at the University of Mount St. Vincent. Koehl will help shape the Institute's mission to advance justice-centered communication, public engagement and More

Podtrac Releases February Podcast Industry Rankings
Podtrac
Podtrac
Podtrac has released its Top U.S. and Global Publishers & Networks rankings along with the Top U.S. Podcast chart for February 2026, highlighting audience trends and performance among major podcast producers. According to Podtrac, two U.S. ranking participants posted increases in Unique Monthly Audience More

Shea Expands Role as Tech Systems Director at Connoisseur
Patrick Shea
Patrick Shea
Connoisseur Media has expanded the role of Patrick Shea, naming him Director of Technical Systems for its Long Island and Connecticut clusters while he continues to serve as Operations Manager. In the newly added position, Shea will work closely with local engineers and IT staff and serve as a key More

Return to Menu

Advertisement

Subscribe to our Newsletter
Radio news and headlines delivered right to your e-mail box -- and it's free.

Advertisement

Advertisement