This article argues that the origins of U.S. radio policy, and the reasons for the differences with European nations, were driven by general industrial development policies, by previous decisions involving communications industries, by national financial and economic conditions, and by business and geographic challenges. These factors combined to create a policy environment in which the interests of private enterprises became predominant in developing radio and radio policy. It asserts that much of the existing literature on broadcasting policy is disconnected from preexisting policies, market conditions, economic and social history, and business strategy and that it ignores the important roles those played in setting the conditions under which policy was made and creating constraints for those constructing the policies.