Trade Lobby Seeks to Tie AM Radio Mandates to Music Royalties

June 3, 2025, 7:56 PM UTC

Legislation to require all car manufacturers to install AM radio-capable devices in new passenger vehicles is running into opposition from trade groups that say musicians would be exploited if lawmakers don’t also address radio royalties.

The radio measure (S. 315, H.R. 979) won Senate Commerce Committee approval in February and awaits a vote in the chamber.

“Mandating AM radio without addressing the performance royalty issue would perpetuate an inequity that denies hundreds of millions of dollars in compensation to countless recording artists every year,’' several trade groups said Tuesday in a letter to the chairmen of the House and Senate Judiciary committees.

Auto industry lobbyists have pushed against AM radio mandates in the past, saying they would tack redesign costs on companies for a service whose listenership is down. Supporters say AM radio is an essential communication tool, especially during emergencies.

The letter asks the lawmakers to condition passage of the AM Radio for Every Vehicle Act on adoption of the American Music Fairness Act (S. 326, H.R. 861), which would compel radio stations to get licensed to play copyrighted music and pay artists royalties. Digital streaming services are currently required to attain such licenses; traditional radio stations aren’t. Neither chamber’s Judiciary committee has acted on the legislation.

New Cars Must Keep AM Radio Under Bill Advanced by Senate Panel

“While some of our coalition members have concerns about the AM bill for a variety of reasons, we also believe that Congress should not mandate the use of an infringing platform that exploits artists,” Alliance for Automotive Innovation, Zero Emission Transportation Association and other technology and music groups wrote in the letter.

The chairmen of the committees, Sens. Chuck Grassley (R-Iowa) and Dick Durbin (D-Ill.) and Reps. Jim Jordan (R-Ohio) and Jamie Raskin (D-Md.) didn’t immediately respond to requests for comment.


To contact the reporter on this story: Phineas Hogan at phogan@bloombergindustry.com

To contact the editors responsible for this story: Robin Meszoly at rmeszoly@bgov.com; Michaela Ross at mross@bgov.com

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