Tuned In: Why Removing AM/FM Radio Is a Multi-Billion Dollar Gamble for Automakers

Nielsen's latest analysis finds that removing AM/FM radio from vehicles could put automakers at odds with consumer behavior, as more than 80% of ad-supported in-car audio listening still comes from AM/FM radio. The report estimates that eliminating broadcast radio could influence purchase decisions for millions of drivers, representing billions of dollars in potential vehicle sales at risk. Nielsen also notes that radio remains the most-used audio source across virtually every generation while driving, providing unmatched reach for news, entertainment, local information and emergency communications.

These findings reinforce that AM/FM radio continues to play a central role in the in-car experience, creating implications for automakers, dealerships, aftermarket technology providers and advertisers. As manufacturers evaluate connected infotainment strategies, consumer demand for reliable, free, local audio remains a meaningful factor in vehicle satisfaction and purchase consideration.