Diversity in radio music has been affected by consolidation in radio ownership and the system of independent promoters. The Telecommunications Act of 1996 eliminated many of the regulations and restrictions that were enforced in radio. This Act was passed by the FCC, or the federal communications commission. Before the Telecommunications Act was passed, there was an extreme restriction on the amount of radio stations a certain individual or group could own. After the new law was passed, there was no longer a limit on how many stations on AM or FM channels one could own. This made for a much different radio experience.
Consolidating these radio stations is what led to great success by the bigger stations. In a big city, one person can own up to eight radio station, however no more than five can be of the same type of music. Smaller stations that were not bringing in a lot of money, or weren't very popular became combined with the bigger stations to increase popularity, and of course money. Most of the time this was a great success, even though sometimes the smaller stations would rather have stayed small. Staying small however, lost its appeal when the big stations were rolling in money constantly. Companies were paying the stations to advertise for them, and since the new regulations for ownership occurred, restrictions were becoming more relaxed on the amount of advertising time allowed on a specific station. These large stations then began running commercials for up to a half hour, every hour. This was a mind boggling amount for the day and age. .
What was being played on the radio changed dramatically as well. Independent promoters were making an impact on what was played more often. Indies would identify forgotten older artists and record new innovative performers. They would usually depend on wholesale distributors to promote and sell their music.