In Part 1 of this post titled "WHO IS TO PAY FOR BROADCASTING AND
HOW? A Contest Opened by RADIO BROADCAST in which a prize of $500 is
offered," I had cited an article from 1924 requesting ideas on how the
new medium of radio could be monetized.
The reason for digging through the virtual archives - which is much
better than going through physical archives since you do not have as
much dust, is that here we are 85 years later asking the same kind of
question relative to social media. Remember the old saying that no
matter how much things change, they stay the same?
What was most interesting was the fact that as I read over the
winning entrant's submission on how to monetize the radio industry,
which suggested that the Government levy a tax based on usage which was
tied to the type of radio the consumer owned, I could not help but
think back to the days of pay toilets. By the way, it is usually at
times like this that I am reminded of my advancing age as I am certain
that the majority of my readers will not recall the ignominious days
when one was required to put a dime in the dispensers that served as
the sentinels to public washroom stalls. Nor would you understand the
almost comical scenario of having to choose between the urgent need to
violate the law and risk getting caught attempting to slide under the
stall's door when the required change was not readily at hand. The
alternative was of course another kind of embarrassment that for
sensibilities sake I will leave to your individual imaginations.
The point here is that the concept of users having to pay to access the "facility" of social media as we discovered in my interview with Shel Israel on Thursday, is not a tenable solution.
While the Radio Broadcast's winning contestant, H.D. Kellogg, Jr.
received the handsome sum of $500 (which in 1924 was a great deal of
money), for his submission, "this winning plan for establishing a national radio service unencumbered by advertising and other irrelevant considerations," was never seriously considered as a viable method for financing United States broadcasting." Go figure!