Radio Act of 1927
The Radio Act of 1927 was a pivotal piece of legislation in the United States that established federal control over radio broadcasting. It created the Federal Radio Commission (FRC), comprising five commissioners responsible for regulating broadcasting across five designated zones in the country. The act aimed to eliminate signal interference and bring order to the rapidly expanding radio landscape, a response to the proliferation of broadcasting stations by various entities, both amateur and commercial.
One significant aspect of the act was its licensing requirements, which mandated U.S. citizenship and financial qualifications for applicants while preventing foreign ownership in broadcasting. Although the act included few content regulations, it did emphasize the obligation of broadcasters to serve the "public interest, convenience, or necessity," a term that has sparked ongoing discussion about the role of media in society. The FRC eventually laid the groundwork for the Federal Communications Commission (FCC) established in 1934, shaping the future of American broadcasting and influencing debates about media policy that persist today. The act's legacy continues to affect the broadcasting landscape, particularly regarding the balance between commercial interests and public service.
Subject Terms
Radio Act of 1927
The Law: Federal legislation establishing the Federal Radio Commission (FRC) and regulating the use of airwaves for radio broadcasting
Date: Enacted on February 23, 1927
The Radio Act of 1927 authorized government control over radio broadcasting through the establishment of the Federal Radio Commission (FRC), a body of five commissioners each charged with regulating one of five geographically determined radio zones. The primary objective of the Radio Act of 1927 was to eliminate signal interference and restore order to the airwaves by establishing requirements for broadcasters regarding licensing procedures, frequency allocations, and public service obligations.
Passed after the fourth in a series of radio conferences convened by Secretary of Commerce Herbert Hoover, the Radio Act of 1927 superseded the Radio Act of 1912, which required radio operators to have licenses. The earlier law had considered point-to-point communications only, such as those from ship to shore, and its creators had not anticipated radio broadcasting as a mass medium. The new act was a direct response to the rapid development of radio broadcasting stations by amateurs as well as commercial and noncommercial entities. With its passage, the government and large commercial operators such as the Radio Corporation of America (RCA) sought to eliminate the resultant excessive signal interference to ensure the profitability and continuing cultural impact of the new medium.
Provisions of the Law
Under the auspices of the Radio Act of 1927, the FRC was created as a temporary body responsible for evaluating license applications and restoring order to the airwaves, a responsibility previously charged to Secretary of Commerce Herbert Hoover. Each of the five FRC members was appointed by the president to oversee one of five specific radio zones covering the United States.
The majority of the regulations contained within the Radio Act of 1927 established procedures for the granting and revocation of licenses. Those applying for a license had to prove that they were citizens of the United States, of upstanding character, and financially qualified. Applicants also had to specify the frequencies and time of day during which they wished to operate, as well as the general purpose of the station. Licenses would not be granted to any foreign government or its representative or to any company whose stock was more than 20 percent owned or controlled by a foreign entity. License revocation could occur if any single broadcaster attempted to monopolize the airwaves.
The Radio Act of 1927 contained few regulations related to content. Self-regulation was preferred by the large commercial broadcasters, such as RCA and American Telephone & Telegraph (AT&T), and encouraged by the government. Content-specific regulations were limited to an equal-time rule, which required broadcasters to offer equal time to any political candidate running for public office who wished to respond to a candidate who was already afforded airtime. Broadcasters were not required to give any candidates airtime, however, as this would be a violation of their First Amendment rights. The law also stipulated that broadcasters could not interfere with the free speech rights of others and could not censor material, though the use of obscene, indecent, or profane language over the airwaves was prohibited.
The Public Interest
Although content-specific regulations were few, the Radio Act of 1927 contained one of the most significant mandates related to the general mission of telecommunications industries in the United States. Borrowing a phrase from public utility law, the Radio Act of 1927 stipulated that all broadcast licensees were required to serve the “public interest, convenience, or necessity.” License renewal was based upon how well licensees fulfilled this mandate.
The interpretation of the public interest was, and continues to be, a source of great debate. The trusteeship and marketplace models of broadcasting best exemplify how the public interest has been defined through history. The trusteeship model identifies the airwaves as a public resource, and as such, broadcasters must provide audiences with programming that is entertaining as well as educational and informative. The marketplace model interprets the public interest as being determined by the public’s desire for certain programs over others. In this model, market demand is considered the best arbiter of the public interest.
The public service mandate contained within the Radio Act of 1927 supported aspects of both models, as it privileged the development of the largest commercial broadcasters. Such stations were able to provide the public with the type of high-quality, diverse programming that smaller stations could not because of their financial, geographical, or philosophical positions.
Impact
Plagued by staff turnover and debate in Congress regarding the public interest criterion, the FRC was superseded by the permanent Federal Communications Commission (FCC), established through the Communications Act of 1934. The Radio Act of 1927 in effect created the regulatory environment that would enable the nation’s largest commercial broadcasting networks—the National Broadcasting Company (NBC), Columbia Broadcasting System (CBS), and later American Broadcasting Company (ABC)—to consolidate their power and control of the radio and then television industries through the late 1970s. This approach inhibited the growth of small, independent, and noncommercial stations. In the early twenty-first century, debates about new media technologies continue to be influenced by the policies set forth in this act.
Bibliography
Aufderheide, Patricia. Communications Policy and the Public Interest. New York: Guilford Press, 1999. Evaluates the Telecommunications Act of 1996 within the context of the public interest mandate that became law in the Radio Act of 1927.
Barnouw, Eric. A History of Broadcasting in the United States. 3 vols. New York: Oxford University Press, 1968. Chronicles the development of the American system of commercial broadcasting.
Douglas, Susan J. Inventing American Broadcasting, 1899–1922. Baltimore: Johns Hopkins University Press, 1989. A cultural history of radio’s evolution as a mass medium.
McChesney, Robert. Telecommunications, Mass Media, and Democracy: The Battle for Control of U.S. Broadcasting, 1928–1935. New York: Oxford University Press, 1995. A revisionist history of American broadcasting, highlighting the roles of government, industry, and reformers.
Slotten, Hugh Richard. Radio’s Hidden Voice: The Origins of Public Broadcasting in the United States. Urbana: University of Illinois Press, 2009. A history of the public service tradition as implemented by noncommercial providers.