After nearly 50 years, the Corporation for Public Broadcasting (CPB) is now officially dissolved. But what does this mean for the music business, its artists, and the small-but-mighty influencer, NPR’s Tiny Desk Concert?
After months of winding down, the Corporation for Public Broadcasting officially ceased to exist this week.
Following a Congressional defunding and a final, somber vote by the organization’s board on January 5th, the Corporation for Public Broadcasting (CPB) officially shuttered operations. The dissolution marks the end of decades of federal funding for public broadcasting, with local stations in smaller markets now facing the greatest risk of ripple-effect shutdowns.
Reactions in America have been predictably polarized, ranging from aghast to elated. Most of the CPB debate has been focused on news bias, tax allocations, and left vs. right politics. But what about the impact on the music industry — or, does this affect the music industry in any serious way?
Established by the Public Broadcasting Act of 1967 and signed into law by President Johnson, the CPB was designed to be a ‘heat shield’ between the government and public media.
The CPB didn’t produce content itself; instead, it distributed federal funds to ensure that non-commercial radio and television could be disseminated and thrive, regardless of profitability.
For nearly 60 years, the CPB was the financial backbone of a system that brought us everything from Sesame Street to Morning Edition. In the music world, the CPB’s infrastructure also enabled local stations to champion indie artists and local music scenes.
Those enjoying ‘left of the dial’ stations frequently encounter artsier genres, local artist interviews, and deep-in-the-crates deejays, and much of that comes from CPB-funded stations. Those stations aren’t getting wiped away tomorrow, though their future is suddenly in doubt.
“Donations from listeners are up, and philanthropists have stepped in, but the long-term future of public TV and radio is far from certain,” the New York Times recently observed.
Smaller stations in far-flung markets are probably the most vulnerable. That will undoubtedly affect more niche genres like jazz, folk, classical, and Americana. Though when it comes to public radio, the big influencer — with an impact far beyond public radio audiences — is NPR’s Tiny Desk Concert.
It’s amazing. Despite a super-fragmented media landscape, label marketers and managers tell DMN that Tiny Desk is actually one of the few shows that moves the needle for artists.
“There are only a few bookings that actually move the needle for an artist’s streaming numbers and ticket sales — and Saturday Night Live and Tiny Desk are two of them,” one industry vet told DMN. “Programs like Jimmy Kimmel Live or The Tonight Show are great for the resume, but they rarely result in a measurable bump in listeners.”
Indeed, Tiny Desk has grown to become a prestigious “live” booking, capable of putting an unknown indie artist on the map and giving established artists a big push.
But is Tiny Desk now at risk of going under?
The “1%” Myth
In the lead-up to the CPB dissolution, NPR issued several vague statements regarding its financial health. They also deployed the oft-repeated line that NPR only receives about 1% of its direct funding from the CPB.
Technically, that’s true — but it’s also extremely misleading. And part of the reason is that ‘indirect’ funding is also a critical funding source for NPR.
A quick look at the funding flow exposes the problem. In terms of funding allocations, 70% of CPB’s funding was distributed directly to nearly 1,500 locally owned and operated public radio and television stations. These local stations—ranging from giants like Oregon Public Broadcasting (OPB) to tiny tribal stations in Alaska—then used those funds to ‘buy’ programming from NPR and PBS.
This circular economy meant that the CPB didn’t just fund the national networks; it also funded the customers of those networks. Without the CPB, the local stations lose their purchasing power, and NPR loses a huge revenue stream.
That raises the question of whether a domino effect will eventually ensue. Because when a local station’s budget is slashed, its ability to pay NPR for content vanishes.
Suddenly, this looks a whole lot scarier, though NPR also banks on corporate sponsors and a large network of donors. It also enjoys a massive YouTube audience, with a brand that extends far beyond public radio. Indeed, Tiny Desk is a serious music platform and brand, though its formidable network of NPR member stations may be getting dismantled.
So for now, Tiny Desk will keep rockin’ on — even if things get a little more cramped.
