ALTERNATIVE RADIO

Not The Return Of Grunge: CDNow Channels Hope, Satellite Radio Introduces A New Band
Particularly ambitious after its save from certain financial doom, CDNow has launched CDNow Radio.

The streaming music site features 14 genre-specific channels and eight programmed lifestyle channels in the Windows Media Player format. The genre-specific channels include Rock, Pop, R&B, Rap, Classical and more, while the lifestyle channels are each focused on particular demographics.

For example, the channel called "The Vineyard" features music by Steely Dan and Carly Simon and other artists that appeal to baby boomers, while "The Villa" features soothing sounds by Kenny G, the Carpenters and others in an attempt to reach the comatose. Three bucks a share buys a whole lot of streaming radio technology, huh?

But the progress of radio technology doesn't stop at the computer. Satellite radio broadcaster Sirius Satellite Radio and XM Satellite Radio are poised to bring satellite broadcasting to a car near you. Them satellites are purty high-fangled, they know all sorts o' stuff about ya.

Sirius just completed the first step in its plans to begin broadcasting its 100-channel digital entertainment service to car radios in the continental U.S. Testing of the first satellite in its three-satellite constellation was successful and launch of the second and third are scheduled for September and October.

Sirius plans to begin broadcasting its subscription-based radio service at the end of the year. The programming will feature up to 50 channels of commercial-free music and 50 channels of news, sports and information programs. For an additional fee, the Backseat Driver channel will tell you to slow down and to stop driving like a maniac.

XM Radio will also feature 100 channels of music and information. The company recently closed a $235 million deal, completing funding through the commercial launch of its nationwide satellite radio service. XM's satellite radio will also be a subscriber-based service, but its biggest differences to Sirius are that its broadcast will include advertising and saucy DJs. Mmmm, saucy DJs.

Satellite radio service will not be available on conventional car radios and the companies won't go toe to toe until 2004, when cars will be equipped to get both services. But Sirius has mad alliances to install three-band (AM/FM/SAT) radios in Ford, Chrysler, BMW, Mercedes, Mazda, Jaguar and Volvo vehicles and XM Radio has aligned with American Honda and General Motors. Sorry, Daewoo owners, there is no hope in sight.

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