With the news that the struggling satellite radio conglomerate Sirius XM may be filing for bankruptcy, fans of fart jokes and Artie Lange death-watchers everywhere are asking the question: What will happen to Howard Stern?
If Sirius XM needs to cut costs, getting rid of Howard would certainly free up some cash: $100 million a year, actually, which would pay for an awful lot of classic-rock deep cuts. But then again, cutting loose Howard Stern is a good way to lose a lot of subscribers. Stern was saying on his show just this morning that there’s nothing to worry about, it’s just a minor snafu and satellite radio will be ruling the free world on schedule. Obviously, that’s what he needs to say — it wouldn’t do to have the flagship host crapping his pants on air. And if it comes to pass that satellite radio does sign off, Stern’s listeners needn’t panic because satellite radio needs him more than he needs satellite radio.
I was e-mailing with marketing wizard and lifelong Sternophile Ernest Lupinacci (hereâ„¢s some Stern inside-baseball trivia: Ernest is the man who orchestrated the Robert Goulet version of Å“Restless Restless. If youâ„¢re a fan, youâ„¢ll know what that means), and he proposed that Stern could easily do the show on his own and sell it as a daily podcast, using the Ricky Gervais model. Å“In the new digital age, distribution is fungible, Ernest wrote, adding that if Stern builds himself a studio, he can record a daily show and then easily distribute it to subscribers. Letâ„¢s say he has 3 million listeners willing to pay just $3 per month for daily podcasts. (As compared to Sirius XMâ„¢s $12.95 monthly rate.) Thatâ„¢s $108 million in revenue a year. And, Ernest adds, Å“he could hire a competent sales guy, and if they can generate (conservatively) another million a month in ad revenue — that’s $12 million more. It ainâ„¢t Sirius money, and heâ„¢d likely have to pare down his staff, but itâ„¢s enough to keep his core group of cohosts and producers happy, with a little money left over for a Purell budget. (You donâ„¢t want to know the germs that a guest like Jeff the Vomit Guy will leave behind. http://popwatch.ew.com/popwatch/2009/02/howard-stern-bu.html
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