Howard Stern

The media is once again abuzz about Howard Stern. This time it is not about whether or not he will renew his contract with Sirius XM Radio, but rather whether or not he become part of the pop music phenomenon known as American Idol.

Satellite radio investors seem to like the idea of Stern becoming a judge on American Idol. His fans seem to like the idea as well. After all, this will bring more exposure to Stern, and by extension, to satellite radio. It would seem to make all of the sense in the world that this is potentially great news, right?

Well, the exposure would help satellite radio gain some “free” publicity, but in my mind this deal would have been better a year or two ago. As many already know, Howard is in the last year of his contract with Sirius XM. As any business man will tell you, you want to increase your market value as much as possible prior to negotiating a contract. Thus, the American Idol speculation brings added value to the Stern brand, as well as his negotiating power.

If Howard is a success on American Idol, it would be a gig that would pay him handsomely. Perhaps it would even pay him enough to make that his main form of employment. Being a judge on American Idol would increase the amount of leverage he has at the negotiating table with Sirius XM. Even the speculation serves that same purpose. Yes, it would bring exposure to Sirius XM. Perhaps the added exposure will even be enough to make it in Sirius XM’s best interest to try their hardest to keep The King of All Media on board. The risk however is all with Sirius XM. If Howard were to cut a deal with Idol, he is in the drivers seat when it comes to a potential contract with Sirius XM.

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Starting December 21st you will be able to hear the 3rd installment of the History of Howard Stern on Howard 100 and Howard 101 on the Sirius dial. The History of Howard Stern: Act III, exclusive radio documentary series offers listeners a rare behind-the-scenes look at the life, career and achievements of Howard Stern.

Act III takes an in-depth look at the era when Howard is crowned “The King of All Media.” Pivotal moments of Howard’s life and career covered in Act III include the publication of his bestselling books Private Parts and Miss America, the launch of the E! show, Howard’s run for governor of New York, the day Howard saved a caller from jumping off the George Washington Bridge, an all-star tribute to Sam Kinison, and much more.

The show will premier on December 21st and air through January 1st beginning at 6am ET on Howard 100 and 6am PT on Howard 101 in 10 separate original parts, with one installment airing each day that week and encore performances all day, nightly and throughout the weekend.

For those of you who have not had the pleasure of listening to the show as long as I have because you were either too young, or now have the new found ability through Satellite Radio, this series is a must listen. To hear where this show has come from and how much it has evolved is an eye opening and entertaining experience. For more information check out sirius.com/historyofhoward.

You didn’t have to be a rocket scientist or even a Howard Stern fan to predict what has now begun.  The Stern drama has started and will continue until he re-signs a deal, or exits his contract with Sirius XM. The latest is a classic example of something being taken out of context, and blown out of proportion by the media, and perhaps the King of All Media himself.

In a recent interview, Sirius XM CEO Mel Karmazin stated that he would like to renew Howard for less money and have him work more. The comment was innocent enough, in that the context of the interview was about how Sirius XM is going to cut costs and become a profitable company. Stern, with his big contract, would be a natural target for those critical of the performance of Sirius XM.

Mel Karmazin is a business man, and he is going to give an answer that indicates the goals of the company to cut costs. However, this is Sirius XM, and any comment faces the dangers of being spun out of control by any number of media outlets.

Let’s face it, Howard is finishing off a big contract and he is a major draw for satellite radio. His contract, which has about a year left is a major decision for Sirius XM, and even himself. On his radio show, Howard vented about Karmazin’s comments and ranted about how he may be done at the end of the current deal.

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In an interesting turn of events, it is quite possible that an advertisement read on the air by Howard Stern himself could pave the way for Sirius XM subscribers to catch his show on Apple iPhones and the iPod Touch. Howard, unlike other high profile talent on Sirius XM, has not been touting the new Sirius XM app, but he has been doing live reads for another iPhone app for LogMeIn Ignition.

LogMeIn is an application that allows iPhone and iPod Touch users to access their home or office computer from their devices. In the ad for LogMeIn Ignition, Howard touts, “If it’s on your computer, it’s on your iPhone.”

In theory, a consumer who downloads the LogMeIn Ignition app onto their iPhone has complete and unfettered access to their home computer through the device. A look at the LogMeIn Ignition website reveals that those that upgrade to the LogMeIn PRO function will allow users key features that should make listening to Howard 100/101, as well as other content not available through the iPhone app, very possible.

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Last week Sirius XM finally launched an app for the iPhone and iPod Touch. The app made big news in a couple of ways. First, the fact that Howard Stern was not available on the app was the major attention getter. The other newsworthy item is that despite Stern’s absence, the app has enjoyed a huge number of downloads, and quickly became one of the most popular apps to hit the market.

With all of the excitement, news, and reviews, there is still one question on the minds of many. Why isn’t Howard Stern available. Speculation ran wild, and calls to Sirius XM were met with an overall silence with regard to the issue. Some felt that Sirius XM was holding back, others felt that there was a potential worry about bandwidth on AT&T’s network, and still others thought the issue may revolve around Stern wanting more money.

While any official confirmation has not been made, there are several indicators that would point to the fact that Stern is a central part in this issue.

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When people talk about satellite radio, the name Howard Stern almost always arises. Whether you like him or not, Stern is a radio and media icon who’s influence on entertainment can not be doubted. Some look at Howard with a jaundiced eye because of his edgy style, but he is much more than that. His boisterous fans who clamor to every bit or sketch are joined by many “closet” fans who enjoy his show on their commute, but never admit to listening to him.

How does Howard Stern command such a vast audience from such a wide spectrum of people? The answer is that he posses an ingrained talent to balance edgy content with informative discussion. He looks at life through a humorous prism, and for a few hours a day, allows some to laugh out loud while others curiously listen from the sidelines. Howard has an uncanny ability to bring out the most from his interviews, and shed a little light on aspects of his guests that no other interview brings out. The great thing about him is that you are compelled to tune in because you don’t want to miss radio gold like his interview with Paul McCartney.

When Howard Stern signed with Sirius Satellite Radio there was huge discussion about whether the cost was worth it. Stern fans loved the move while detractors labeled him as washed up, and over the hill. In the end, it was Howard Stern, and not the NFL, NASCAR, Eminem, or Martha Stewart that delivered subscribers in huge numbers to Sirius. Even in the face of a huge boost in subscriptions, some claimed that he was not the major factor in Sirius’ sudden growth.

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Whether you like him or hate him, one truism exists about Howard Stern. He is popular and likely the biggest draw in satellite radio. Bearing that in mind, Sirius XM radio has rolled out a promotion that will give the subscribers to the XM side of the service a taste of Howard for free from May 18th through May 25th.

It is a great idea, and one that promises to help XM’s subscriber base experience the content available on Sirius. Howard is typically available to XM subscribers through a “BEST OF SIRIUS” package that comes at a cost of about $4 per month.

The company recently announced that roughly 500,000 XM subscribers buy the “BEST OF SIRIUS” Package. This is in contrast to about 200,000 Sirius Subscribers who pay $4 extra to receive the “BEST OF XM” deal. It will be interesting to see how these numbers balance out in future quarters. In my opinion, the biggest differentiators between the tow “BEST OF” packages is Howard Stern, and it appears that the company will capitalize on that.

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Blackberry, Twitter, and Facebook have something to celebrate. After long deliberation, and personal reviews of many cell phones, Howard Stern has made his choice on which device will clip to his hip. The iPhone was in the running, but in the end it was the Blackberry Bold that got the nod of approval from The King of all Media.

Stern’s moniker as King of all Media has stepped up in the tech world with not only the Blackberry news, but also because of announcements on the show that Twitter and Facebook are now in the Stern arsenal. After only one hour Stern already had thousands of followers on Twitter, and the news that Stern wanted to post a video via Facebook already has people clamoring to find the Sirius XM entertainer on that service.

As we have seen demonstrated time and time again, Stern carries a lot of influence with his fans. Blackberry has certainly been impacted by brisk iPhone sales over the past eighteen months, but with Stern endorsing the Blackberry platform, the company is sure to put a dent in the “coolness” factor that iPhone has enjoyed since its launch. Tweeting on Twitter is a phenomenon that is wide reaching, and Stern is now participating, which will bode well for the show as well as fans. Facebook has had mentions on the show in the past, but Stern was reluctant to use his private Facebook in a way that fans could participate. With a show based Facebook page, the interaction and updates may be more frequent, giving Stern followers even more Stern material.

As a fan of satellite radio, it is great to see Stern make these moves. Other shows should consider following suit, and Sirius XM in general should consider the same. Technology is moving fast, and participation in platforms such as Twitter and Facebook can give Sirius XM additional outlets to market their services and shows.

So what brought on all of this sudden activity on the net? We have Sirius XM’s Tim Sabean to thank. He is pushing for more synergies, and for that we are all thankful.

Position – Long Sirius XM