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FCC OKs Plan for New Radio Service

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Times Staff and Wire Reports

After five years of work, the Federal Communications Commission approved a plan that will bring a new form of news and entertainment to people who spend a lot of time in their cars: radio stations that travel with them. The FCC is creating two licenses for CD-quality digital radio transmitted nationally or regionally by satellite. As with cable television, customers of the new service--at least three years away--will probably have to pay to get it. The broadcasting industry opposes the development, saying it poses a threat to local radio service. The FCC will auction the licenses beginning April 1.

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