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12/20/44
"I won't argue to the contrary. That is why I believe a free radio in this country is subject to dangers far more serious and immediate than any threat from tne government.
••Today we have on the air about 900 standard broadcasting stations. With the operators exercising independent Judgment it should be expected that the prejudices, predilections, and mistakes in one direction would be balanced by those in another, leading to a fairly balanced presentation of points of view, information, and entertainment,
••But do those operators exercise their free and independ¬ ent Judgment? About 600 are affiliated with one or more of the four national networks. These affiliated stations together utilize about 95 percent of the nighttime broadcasting power of the entire country and over half their broadcasting time is devoted to national network programs. They receive about 40 percent of their revenue from the national networks and this means more than 40 percent of their profits, for the network programs are handed over ready-made and there is little offsetting expense. Many stations could not survive without network affiliation. If ’he who controls the pocketbook controls the man*, four network corporations have a pretty effective control over our broadcasting system,
••And the networks themselves are subject to ’pocketbook control. * Of the hundreds of thousands of business concerns in this country, only a select few reach the national networks. In 1943, over 97 percent of the national networks’ advertising business came from 144 advertisers. Ten accounted for nearly 60 percent of NBC^s business, Tne same situation prevails in the case of the other net¬ works to a slightly less degree.
••Business concerns engaged in the same line of business probably have similar interests. It is still more disturbing, there¬ fore, that in 1943 over 74 percent of the estimated total billings of all four national net^'iorks was concentrated in four industry groups: food, beverages, and confections; drugs; soaps, cleaners, etc. ; tobacco.
••Thus we have moved from diversification to concentration. Maybe this is the road to a free radio, but I doubt it. '•
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FRANK C. STANTON DIES; FATHER OF CBS OFFICIAL
Frank C. Stanton, 66, father of Frank N. Stanton, VicePresident of the Columbia Broadcasting System, died last Sunday at his home near Dayton, Ohio, He was a teacher in the Dayton public school system for 37 years until his retirement in 1941 because of ill health.
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