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Consumer Technology Association CEO Gary Shapiro Urges Congress to Uphold Consumer Choice in Vehicle Technologies

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Gary Shapiro CEO at Consumer Technology Association | Official website

Consumer Technology Association (CTA)® CEO Gary Shapiro has urged Congress to uphold consumer choice in vehicle technologies during his testimony before the U.S. House Energy & Commerce Committee's Subcommittee on Innovation, Data and Commerce.

Shapiro emphasized the importance of consumer freedom in choosing vehicle technologies and voiced his opposition to the proposed AM Radio for Every Vehicle Act. He argued that mandating analog AM radio in all new vehicles would hinder innovation in the automotive sector and put American automakers at a global disadvantage.

"The power to determine what entertainment technologies belong in their cars should rest with American consumers, not with radio broadcasters," Shapiro stated during his testimony.

CTA's research showed that only 1 percent of Americans received an emergency alert via AM radio in October 2023, while over 95 percent received the alert on their mobile phones. Shapiro advocated for leveraging more effective emergency alert systems rather than enforcing outdated mandates on century-old technology.

Shapiro also highlighted the disparity in compensation for musicians on terrestrial radio compared to digital and streaming platforms. He pointed out that terrestrial stations do not pay performers for their work, unlike their digital counterparts, which pay performance royalties.

"AM and FM are the only forms of radio that do not pay performers for their work," Shapiro testified. "This is disturbing given over 240 million songs are played on AM radio every year. Mandating AM radio would condone this unfair system, allowing the broadcast industry to reap profits at the expense of artists."

CTA, along with various organizations and member companies, has opposed the AM radio mandate, advocating for policies that prioritize consumer preferences and freedom of choice over government mandates.

Shapiro's testimony underscored the need for marketplace competition to drive innovation and economic growth in the automotive industry. The alliance against the AM radio mandate includes the Alliance for Automotive Innovation, Technet, Zero Emission Transportation Association, and other allied organizations within the mobility ecosystem.

For more information on CTA's stance on the issue, interested parties can learn more about their work on their official website.

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