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CBS Radio has announced a content and advertising partnership with AOL, in which it will provide content from its 150 radio stations to AOL’s online stations, and will also take over ad sales for all of AOL’s 200+ stations. In entering into the partnership with CBS, AOL is ending its ties with XM Radio.
In response to the announcement, XM is offering a free, 14-day trial of its internet-based ad service, which includes 80 of its 170 channels, according to the Washington Post. The six-month subscription fee is also being reduced by half, to $2.99, through May.
Until now, XM had offered 20 of its channels through AOL Radio in order to push listeners to subscribe to XM. As of yesterday, seven of the 10 top radio channels on AOL Radio were XM stations.CBS Radio will work with TargetSpot, the internet radio ad service created by CBS, to sell in-stream ads, banner ads on the player and video pre-rolls, writes MediaPost. CBS Radio and AOL will split ad revenue.
AOL’s web player will be redesigned and updated, and will include navigation to popular CBS stations including WFAN-AM, 1010 WINS in New York and KROQ in L.A.
Last summer, AOL stopped directing users to its radio sites after being clobbered with the 38 percent increase in royalties to air music; in the fall, AOL - along with Yahoo - said it may shut down its web radio services completely.
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