FCC Investigates iHeartRadio Over Alleged Payola Scheme in Live Music Events

FCC Investigates iHeartRadio Over Alleged Payola Scheme in Live Music Events

By Marcus Stevenson

February 26, 2025 at 06:53 AM

The Federal Communications Commission (FCC) has launched an investigation into iHeartMedia over potential payola violations, particularly focusing on their live music events practices.

iHeartRadio headquarters building

iHeartRadio headquarters building

Photo Credit: iHeartRadio offices in San Francisco by HaeB / CC by 4.0

FCC Chairman Brendan Carr has formally requested information from iHeartMedia CEO Robert Pittman regarding the upcoming iHeartCountry Festival, which will feature prominent artists like Brooks & Dunn, Rascal Flatts, Thomas Rhett, and Sam Hunt.

The investigation centers on whether iHeart is improperly pressuring artists to perform without compensation in exchange for radio airplay. This practice, known as "payola," violates federal law when not properly disclosed.

Key points of the investigation:

  • iHeart must provide details about artist compensation
  • The company needs to disclose typical performance fees
  • Information about the relationship between festival participation and airplay must be revealed
  • Response is required within 10 days

iHeartMedia has responded stating that festival participation has "no bearing on our stations' airplay" and expressed willingness to demonstrate compliance with regulations.

The probe follows a February 6 FCC advisory prompted by concerns raised by Senator Marsha Blackburn (R-TN) about payola practices in radio broadcasting. Additionally, the FCC is extending its investigation to NPR and PBS regarding their on-air acknowledgment of financial sponsors.

Graceland mansion at night view

Graceland mansion at night view

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