Cumulus Faces Months Without Nielsen Ratings As Legal Fight Drags On.

This year is shaping up to be one in which many Cumulus Media salespeople will be hitting the streets without any ratings data in hand. In court filings last week, attorneys for both Cumulus and Nielsen agreed to series of legal deadlines in their ongoing dispute that will see their legal fight stretch to mid-year, and potentially beyond.

District Court Judge Jeannette Vargas approved a series of paperwork deadlines that begin in March and continue through the end of May. The courthouse timeline isn’t unusual, but a radio group the size of Cumulus without ratings for many of its markets is. The company’s contract with Nielsen expired Dec. 31, and that has left stations in Continuous Diary Measurement (CDM) markets without any numbers by which to use in their sales pitches to clients or programming decisions. In large PPM-measured markets like Chicago, Dallas and Atlanta, where ratings are likely most critical, the data remains flowing.

For Nielsen, the short-term risks may be less. It scored a win earlier this month when a federal appeals court granted the company’s request to lift a preliminary injunction put in place in December by Vargas. The Second Circuit ruling meant that Nielsen is again allowed to use the policy tying national ratings with the purchase of local market data while the legal challenge advances.

Cumulus declined to comment, but when its antitrust suit was filed in the fall, CEO Mary Berner expressed confidence in legal case it had brought. “We feel strongly about the merits of our claim and we look forward to arguing the case in court,” she said on an earnings call with analysts.

In an antitrust lawsuit filed in October, Cumulus asked the court to block Nielsen from implementing a tying policy that conditions access to national radio ratings data on the purchase of separate local radio ratings data. Cumulus calls it a “textbook abuse of monopoly power” that harms competition by preventing radio stations from freely choosing the local radio ratings data providers they want. The lawsuit cites a 36% increase in Westwood One’s national ratings data in 2022, along with consistent subsequent price hikes tied to Nielsen’s “tying policy” that links national and local rating products.

Nielsen has defended its policies however, accusing Cumulus of waging a “lawfare” campaign and suggesting the radio group has sought a 50% reduction in its fees. In a counterclaim filed earlier this month, Nielsen has also alleged that Cumulus breached the terms of its now-expired 2023 contract when it shared details of the ratings product with its rival Eastlan Ratings. Cumulus and Eastlan have not yet responded to those allegations.