FCC Opens Inquiry into Arbitron PPMs

The Federal Communications Commission has opened an inquiry into Arbitron's Portable People Meters (PPM), citing requests from broadcasters and its own Advisory Committee on Diversity. Critics of the meters allege it underreports minority radio listening and could harm diversity and competition. The Diversity Committee argued that "Arbitron's use of an audience measurement service that may not accurately measure minority audiences could lead to 'irreparable' financial harm to stations serving such audiences and, thus, lead to the loss of service that such stations provide to the public," the FCC said in laying out its reasoning for the inquiry. The FCC seeks comment and evidence on PPM methodology and its effect on minority and urban listeners, as well as suggestions for what to do about it if PPM critics are correct. While it is primarily about radio listening, the issue is important to TV stations as well.