Radio Stations

The 3,100 radio firms in the US operate radio broadcasting studios and facilities that transmit programming to the public, affiliates, or subscribers. Major revenue categories include local advertising; national and regional advertising; programs; public and non-commercial programming; and network compensation. Satellite radio broadcasters generate the majority of revenue through subscription fees. Public radio stations receive the majority of revenue from listener contributions.

Regulation Impacts Operations

Radio broadcasters are regulated by the Federal Communications Commission (FCC), which governs licensing, ownership, and assignment of frequencies, locations, power, and other technical parameters.

Seasonality Affects Revenues

Revenue can be uneven and subject to seasonal factors.

Jul 13, 2026 - Digital Ad Revenue Increases As Total Revenue Decreases

• Radio industry digital advertising reached a record $2.3 billion in 2025, according to the Radio Advertising Bureau. Digital sales accounted for 24.4% of total revenue nationwide during the year. Radio World estimates total industry revenue at $9.4 billion in 2025, down from $21.5 billion in 2005. The average station generated $511,873 in digital revenue in 2025.
• About a quarter of all AM and FM radio stations in the US have a religious focus, according to the Pew Research Center. Religion (including stations featuring religious teaching, hymns and other related content) has surpassed country for the first time ever, hitting a new 2,156-station high. Country had led all formats since January 2015. About 45% of U.S. adults say they listen to some form of religious audio programming, whether through radio or online platforms. Music remains a major component of religious broadcasting. About 37% of Americans say they listen to religious music, and music accounts for roughly half of all airtime on religious radio.
• The total number of US radio stations increased by 201 in 2025 but the growth did not come from commercial radio, according to Inside Radio. The increase was driven almost entirely by noncommercial FM and low-power services while AM and commercial FM station counts continued decreasing. The largest contributor to the increase in the total number of stations was noncommercial FM, which increased by 278 stations over the year. Noncommercial FM radio stations broadcast educational, cultural, or public service programming without accepting typical commercial advertisements, relying instead on listener donations, grants, and corporate sponsorships for funding, often operating in the reserved 88.1 to 91.9 MHz band. Educational and community licensees continue to add signals through new construction permits and license transfers, reinforcing a long-running shift in spectrum growth away from purely commercial users. The number of commercial FM stations decreased by 36 and the number of commercial AM stations decreased by 41.
• Radio industry employment decreased slightly and average wages for nonsupervisory employees increased slightly during the first five months of 2026, according to the US Bureau of Labor Statistics (BLS). Radio stations increased their prices significantly during the first sixmonths of 2026, according to the BLS. Radio station sales are forecast to grow at a 4.19 % compounded annual rate from 2026 to 2030, comparable to the growth of the overall economy, according to Inforum and the Interindustry Economic Research Fund, Inc.

Industry size & Structure

The average independent radio broadcasting company operates out of a single location, employs about 16-17 workers, and generates $7.4 million annually.

• The radio broadcast industry consists of about 3,100 firms that employ about 53,000 workers and generate about $23 billion annually.

• The industry is concentrated at the top; the top 20 companies account for about 67% of industry revenue.

• The majority of firms operate within a limited geographical market. Large companies include iHeartRadio (formerly Clear Channel Communications), Cumulus Media, NPR, and SiriusXM Radio.

• Large companies may have operations related to other forms of media, such as television or outdoor advertising.

• The industry excludes Internet-only radio services, such as Pandora. Internet-only radio providers are considered part of the Internet broadcasting and services industry.