27MHz is also used by toys, park flyer aircraft and CB radio so you are much more likely to get interference than on 40MHz which is RC cars only.
FM gives a clearer signal than AM (just like your kitchen radio).
Lots of people have now gone to Spektrum, probably 50% at most of the races I attend. Suits me because there is less chance of a clash on 40MHz, and I have never had intereference issues anyway (always use quality gear, Futaba is the best IMHO)
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