June 27, 2006 | posted by Michael Baxter in Uncategorized |

When was the last time you heard a song on the radio you liked? Don’t be too cynical now - surely it wasn’t that long ago. Supposing you could buy the song there and then, just click a button saying ‘buy me’. Radio would then become a form of music retailer, generating revenue through selling product, rather than advertising, and Auntie BEEB, and her music radio channels would find a whole new string to her bow. It could also have a catastrophic effect on some music High Street retailers, not to mention certain online music stores - but it would make the consumer king and, inevitably, chart based radio stations would become even more the vogue, and would only play tunes they think you will want to buy.

It’s an interesting idea, but what’s even more interesting is that someone it about to try it. UBC media, which is the largest independent producer of radio content for the BBC is about to go live with a service being tested on Chrysalis Group’s Heart station, which is received in the Birmingham area. It will be the first test of its type anywhere in the world. Who would have thought it; Brum, the start of a music revolution.

UBC has secured £3mn of investment to put behind the service and predicts that the service will generate £95mn a year by 2012. This projection assumes that by that year, 25% of mobile phones will be equipped to play digital radio, and 10% of owners will buy six songs a month. Tunes will typically cost £1.20, that’s 21p more expensive than iTunes, but then mobile phone services always do carry a premium.

UBC’s chief executive, Simon Cole said: “Because we own most of the interactive digital spectrum in the UK, we’re in position to create a barrier to entry.”

LG and Samsung Electronics are leading the way with the hardware, and according to UBC’s Cole, they are predicting sales of half a million digital radio enabled phones in the UK over the next 18 months, and 10 million by the decade’s end.

For Apple the danger is this. The iPod came to dominance, making the Walkman yesterday’s product in hardly any time at all. But its sales have partially been led by fashion, and fashion comes and goes. The UBC model seems to be altogether more robust.