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Featured Strategy & Views

HD Radio makes headway in Latin America

by Marguerite Clark January 20, 2023 12 min read
 HD Radio makes headway in Latin America
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The HD Radio digital radio standard continues to expand with more than 40 auto manufacturers worldwide having integrated HD Radio technology into their vehicles, and in Mexico alone, 26 car brands have integrated the technology into 157 models. RedTech spoke to Fabian Zamarron, senior manager, business development, Mexico and LATAM for Xperi Corp. to learn more about HD Radio and its evolution, particularly in Latin America.

RedTech: How would you describe HD Radio to someone who doesn’t know what it is?

Fabian Zamarron, Xperi
Fabian Zamarron, senior manager, business development, Mexico and LATAM for Xperi Corp.

Fabian Zamarron: HD Radio technology is the most successfully deployed commercial digital radio system worldwide, reaching nearly 400 million people with more than 4,700 channels of programming in North America.

AM and FM radio stations broadcast a digital signal over traditional radio frequencies, allowing for up to three additional channels of new audio programming.

It elevates the in-vehicle infotainment experience with clear, static-free sound and on-screen information, such as album art, station logos, song and artist info, traffic, weather and critical emergency alerts.

RedTech: Why should broadcasters invest in the infrastructure to add HD Radio services to their portfolio?

Zamarron: The future of audio is clearly digital. The broadcast radio industry has made significant strides in the last decade converting their infrastructure to digital — both HD Radio and DAB+ in Europe. HD Radio, however, is the most widely deployed digital radio system in the world, and is supported by more than 90 million vehicles.

Not only are the consumers listening, but the conversion costs have decreased dramatically, and it is more affordable now to convert. You’ll be able to take advantage of rich, structured metadata to engage listeners, additional audio channels to retain audience as well as enhanced advertising with text and visuals to compete with other digital platforms. These are all capabilities that analog radio doesn’t enable, and remember, the future is digital, not analog.

RedTech: Do you think enough is being done to market HD Radio to the general public?

Zamarron: The industry has done a reasonable job promoting HD Radio, but more can always be done. There is amazing new programming, and the industry should take pride in the investment and perseverance it has displayed in modernizing its infrastructure and getting the support of the auto industry to encourage a digital future for radio. Now is the time to brag a bit and really excite your audiences.

The industry has done a reasonable job promoting HD Radio, but more can always be done.

RedTech: Who should be responsible for educating the market? Broadcasters? Manufacturers? Trade associations? What is Xperi doing to provide more information to consumers?

Zamarron: Xperi has been helping the industry and OEMs to explain the HD Radio technology to its customers, but it’s up to the broadcasters to excite and educate their audiences. Thinking back to the time when TV embraced color or digital broadcasting — they incorporated messaging into every show to ensure the audiences knew that something new was happening with TV.

We would like the radio industry to do the same — the audiences will be impressed and grateful as the awareness and understanding take root.

RedTech: How does Xperi work with the automotive and broadcasting industries to encourage the take up of HD Radio?

Zamarron: We work with product planners and platform owners within the car industry to ensure that HD Radio is an integral part of as many radio platforms as possible. And we’ve been doing that for over 20 years.
Some 193 models have HD Radio as standard and, most recently, Toyota announced that they have standardized HD Radio in all their vehicles.

We continue to educate the auto industry on the value of radio, the enhancements HD Radio brings and the new programming and services offered by broadcasters. The future of broadcasting is digital and HD Radio delivers that to drivers throughout North America.

RedTech: Is the integration of HD Radio into automobiles the biggest driver of the technology in LATAM?

Zamarron: HD Radio integration into popular car brands will always be an important driver for any market. Currently, HD Radio receivers have achieved an estimated more than 85 billion listening hours in cars since 2005, and over 95% of all Americans are able to receive an HD Radio signal, with 79% of all radio listening to stations broadcasting via HD Radio technology.

RedTech: Since 2011, HD Radio coverage in Mexico has grown to cover 41% of the country. How do you see this changing over the next 10 years?

HD Radio technology in the car dashboard in Mexico
HD Radio technology in the car dashboard in Mexico

Zamarron: HD Radio recently celebrated 10 years in Mexico with more than 215 digital radio channels. It’s constantly growing; an increasing number of stations in Mexico and Latin America are interested in joining the radio evolution offered by HD Radio, so we expect significant progress over the next years.

As an example of the regulatory support to boost the growth of digital radio in Mexico, IFT [El Instituto Federal de Telecomunicaciones] offered incentives during the latest tenders for new FM frequencies, where participants committed to transitioning to digital broadcasting received additional points. This is also the case for those AM stations transitioning to the FM band that have initiated HD Radio broadcasting.

RedTech: How does the take up of HD Radio in LATAM compare with global reach? Is there more that needs to be done?

Zamarron: In most markets where digital services have been introduced, digital radio has created countless new business opportunities and has enabled radio to compete effectively with other communication technologies.

We know that the implementation of new technologies produces great challenges, but there are also many advantages that digital radio offers.

It’s time to take advantage of the experience of many stations in the United States, Mexico and Canada that have already implemented new business schemes and that will surely also work in their local market.

RedTech: There are other digital radio services and technologies vying for attention — how does HD Radio compare with other standards?

Zamarron: The HD Radio broadcast system is designed to allow AM and FM broadcasters to upgrade their current analog broadcast to support digital services.

HD Radio has been very successful in enabling digital radio services across more than 2,700 AM and FM stations in many countries.

The other digital radio technologies may have benefits that suit the regulatory or commercial needs of other markets. Our HD Radio solutions are compatible with existing regulatory authorizations for commercial broadcast radio. With HD Radio, stations can retain their current frequency and spectrum allotments and maintain their transmission infrastructure with minimal costs to upgrade.

We know that the implementation of new technologies produces great challenges, but there are also many advantages that digital radio offers.

RedTech: Does distribution over IP make HD Radio and other technologies using current networks obsolete?

Zamarron: Upgrading to HD Radio broadcast solutions allows radio broadcasters the ability to provide a free service that is competitive with other media services by offering new program channels, interactive content and advertisements, and bringing visual experiences to their audience.

According to Jacobs Media’s TechSurvey 2022, across North America, radio listening accounts for 85% of content access with 73% of the younger generation listening to radio. Radio is not obsolete. It is one of many media options available to consumers. HD Radio technology creates new opportunities for innovative content and information distribution to carry radio broadcasting forward for the next 100 years.

Tags: car radios Dashboard HD Radio LATAM Latin America Xperi
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