XM / Sirius Satellite Radio merger is a done deal?

[Toddzilla]

At least so says the New York Post:

http://www.nypost.com/seven/02192007/business/heavenly_deal_business_peter_lauria.htm

February 19, 2007 -- Satellite radio operators Sirius and XM are expected to announce their long-awaited merger today, according to a source familiar with the deal.

The two sides were locked in negotiations over the weekend trying to hammer out a final agreement with an eye toward going public with the merger today in Washington, D.C., where XM is based, this source said.

Talks were still going on at press time and the deal could fall apart at any time. With antitrust issues of paramount importance, this source said lawyers for both companies were working overtime to fine-tune the language of the agreement and frame the discussion around the deal itself and not regulatory concerns.

[Ksyrup]

Woo-hoo!

Oh wait, this is somehow going to cost me more a month, isn't it?

[terpkristin]

Holy moly, this is quite interesting!

I thought, though, that the FCC (or was it FTC) was going to block the merger?

/tk

[mauchow]

I wonder what'll happen to those of us who have nice long subscriptions..

[jeff061]

I can't imagine they'd hike the rates. They are still competing with a "free" format.

[Honolulu_Blue]

Holy moly, this is quite interesting!

I thought, though, that the FCC (or was it FTC) was going to block the merger?

/tk

The FTC/DOJ (more likely the DOJ) and FCC would certainly take a long, hard look at the deal. The question really boils down to whether there is a separate market for "satellite radio" or the market includes "satellite" and "terrestial" radio.

If I recall in the failed satellite TV merger, the FCC and DOJ defined the market as including only cable and satellite. It was some sort of mult-channel distribution market definition that excluded terrestrial TV. They also found that, for certain consumers, satellite TV was there only option and, therefore, there would be a merger-to-monopoly for those customers and for the others (who had access to cable) it would lead to a duopoloy.

I am not sure the same analysis would apply to radio, since pretty much anyone get can terrestrial radio anywhere and there are multiple providers of it (as opposed to just one cable company). It'll certainly be interesting.

[Ksyrup]

This area of the law is foreign to me. Can you "force" two companies of an emerging technology to remain separate, yet operate in the red? It would seem to me that we would benefit from having one solid company to provide a service we otherwise would not have, even if it costs us more. In some respects, that's a "choice" for us to make in and of itself. Since you can get talk radio and hip-hop and sports programming and classic rock on local free stations, it doesn't seem necessary to require more than 1 company to provide a type of radio broadcast that companies are not jumping at the opportunity to provide at this point in time. I realize the merger would make it that much more difficult in the future for a new company to compete, but then again, I could see regional providers making inroads years down the line, much like in the airline industry.

Are there any smaller satellite providers - I don't know of any?

[Toddzilla]

I wonder what this means for the long-proposed and long-awaited "generic" satellite radio receiver, which could be used for either XM or Sirius (or some other future provider).

I'm happy about the merger, so long as there isn't any major house cleaning talent-wise (O&A, Howard, Oprah, etc).

The possibility of being able to listen to every MLB and NFL game is pretty cool, however.

[Honolulu_Blue]

This area of the law is foreign to me. Can you "force" two companies of an emerging technology to remain separate, yet operate in the red? It would seem to me that we would benefit from having one solid company to provide a service we otherwise would not have, even if it costs us more. In some respects, that's a "choice" for us to make in and of itself. Since you can get talk radio and hip-hop and sports programming and classic rock on local free stations, it doesn't seem necessary to require more than 1 company to provide a type of radio broadcast that companies are not jumping at the opportunity to provide at this point in time. I realize the merger would make it that much more difficult in the future for a new company to compete, but then again, I could see regional providers making inroads years down the line, much like in the airline industry.

The short answer to the question is "yes", the government can "force" two companies to remain separate if they find that there will be a "substantial lessening of competition" in a relevant market. That's sort of the basic threshold test, but it's vague and there are a host of arguments to be made. One recognized one being the "failing firm" defense, in which you argue that, but for the merger one of the two companies would go out of business, so the competitive impact of the merger would be same as a non-merger (one company left, instead of two), but there are benefits to consumers if you allow the merger to go ahead as opposed to just letting one of the companies die off and all of their investments go to waste.

[Ksyrup]

Yeah, that's what I was getting at. I think that's a strong argument to make here, where it seems like this sub-industry is benefitting us by providing an advanced-technology service that isn't readily available and isn't yet conducive to full-scale market participation anyway.

[panerd]

Well put me down as somebody who bought Sirius for its content and had zero interest in XM. (I am certain there are people who have the exact opposite view) I hope the merger doesn't change either offering too much or they may lose a customer to the MP3 route.

As somebody who bought XM stock at the worst possible time ($25 a share) I do look forward to seeing what happens tommorow. Of course the holiday gives the government a day to make their announcement and actually send the stock spiraling down again.

[panerd]

I read the original post as NY Times and now that I reread the post I see it was written by the National Enquirer of newspapers. We should end the discussion until a legit news source actually confirms this story.

[Ksyrup]

There are all sorts of discussions and articles about this, but I assume they are all based on the original report. But if Forbes and respected analysts are discussing it, I don't see why we shouldn't.

[panerd]

There are all sorts of discussions and articles about this, but I assume they are all based on the original report. But if Forbes and respected analysts are discussing it, I don't see why we shouldn't.

I don't mind the discussion, it's interesting. I am just questioning the "done deal" coming from the NY post. Analysists have been discussing this merger for months, even years, but the FCC has always said it aint gonna happen. I want to know what new information the Post has that makes this deal done. It it happens today I will eat my words, but I have seen plenty of NY Post "exclusives" fizzle in the wind.

[rkmsuf]

Howard will clear this all up tomorrow.

[molson]

Howard will clear this all up tomorrow.

I think he's off this week.

[rkmsuf]

I think he's off this week.

bah, thought it was just today

[sooner333]

I would actually be more inclined to get sat. radio if the merger goes through. I like the sports content of XM for the baseball games, but Sirius is better for college sports. Not getting both has made me less likely to get either one. Plus, I don't really drive that much.

[14ers]

I'm happy about the merger, so long as there isn't any major house cleaning talent-wise (O&A, Howard, Oprah, etc).

You are not at all concerned about price?

Something tells me I will be paying at least $25.00 a month this time next year for the same service I have now with XM.

[Ksyrup]

Price will be an issue, but if you wanted all of the programming from both right now, how much would you be paying?

Maybe they'll compromise and have some sort of "tiered" packages like cable/satellite providers do now, where you only pay $15 a month for the XM block, etc. Then you'd have to choose whether you want football or baseball, or whether to have it all and pay more. But at least that way, you'd get a choice.

Technology-wise, I wonder how this would work with existing receivers?

[CU Tiger]

hmmmm..
If you had a lifetime sirius subscription and we are to believe the company will emerge under XM trade name, I wonder what that means for your $299 lifetime deal...

I had a sirius lifetime and then bought xm and pay for it just because I liek there offering better. If I could somehow now get XM's channels and be free for eternity or 2100 (like original "contract" actually said) that would kick AZZZZ

[molson]

Something tells me I will be paying at least $25.00 a month this time next year for the same service I have now with XM.

You could already get both XM and Sirius for a combined $25/month - who's going to pay that with largely redundant content? The industry isn't doing too great, this seems like a desperation move.

[molson]

hmmmm..
If you had a lifetime sirius subscription and we are to believe the company will emerge under XM trade name, I wonder what that means for your $299 lifetime deal...



It's really weird to think of Howard Stern promoting "XM radio", if that's indeed the trade name that emerges. I wonder if he has anything in his contract what Sirius agrees to in that regard.

[rkmsuf]

It's really weird to think of Howard Stern promoting "XM radio", if that's indeed the trade name that emerges. I wonder if he has anything in his contract what Sirius agrees to in that regard.

As long as Riley Martin and Bigfoot are retained I don't care.

[Ksyrup]

You could already get both XM and Sirius for a combined $25/month - who's going to pay that with largely redundant content? The industry isn't doing too great, this seems like a desperation move.

The problem is, though, that if they end up cutting a number of similar/same channels, they still have the specific channels that will be added together. If you have both XM and Sirius today, chances are you aren't paying $25 combined for 2 versions of ESPNews. You're paying for Stern, Anthony and Opie, MLB, NFL, college football/basketball, Oprah (haha), etc. So to get all of that in one place it's not inconceivable that they could still try to command the same price.

From the music perspective, it will be interesting to see how they marry up the channels. There are channels that have similar content/genres/audiences, but target them slightly differently. It will be disappointing to see some of those x-ed out as opposed to combined.

[rkmsuf]

The problem is, though, that if they end up cutting a number of similar/same channels, they still have the specific channels that will be added together. If you have both XM and Sirius today, chances are you aren't paying $25 combined for 2 versions of ESPNews. You're paying for Stern, Anthony and Opie, MLB, NFL, college football/basketball, Oprah (haha), etc. So to get all of that in one place it's not inconceivable that they could still try to command the same price.

From the music perspective, it will be interesting to see how they marry up the channels. There are channels that have similar content/genres/audiences, but target them slightly differently. It will be disappointing to see some of those x-ed out as opposed to combined.

Shade 45 isn't going down without a fight. There will be drive bys.

[JonInMiddleGA]

Could it happen? Perhaps.
But not without a change in the FCC rules put in place when the original licenses were issued, as they specifically state that the two licenses cannot be held by a single entity.

The FCC chairman is already on record as opposing the merger on those grounds, although there could always be an end run around the rules via Justice Department approval (argued on the basis that they don't compete with each other as much as with all other forms of delivery) or through a change in the existing rules.

But one or the other has to happen otherwise this cannot legally amount to anything except talk.

edit to add: One interesting possibility is that if the argument is made that satellite competes more with broadcast than with each other, then it seems logical that they would have to accept the same regulations that broadcast operates under, including content regulation. In that scenario, if that's the tradeoff, then I could see approval coming very quickly.

[stevew]

Technology-wise, I wonder how this would work with existing receivers?

Yeah, I just picked up a MyFi portable receiver for XM the other day...I hope it will still work.

[stevew]

SIRIUS and XM to Combine in $13 Billion Merger of Equals
Provides Consumers with Enhanced Content, Greater Choices and Accelerated Technological Innovation

Enables Satellite Radio to Better Compete in Rapidly Evolving Audio Entertainment Industry

Extraordinary Value Creation for Shareholders

Mel Karmazin to Serve as Chief Executive Officer and Gary Parsons to Serve as Chairman of Combined Company

WASHINGTON and NEW YORK, Feb. 19 /PRNewswire-FirstCall/ -- XM Satellite Radio (NASDAQ: XMSR) and SIRIUS Satellite Radio (NASDAQ: SIRI) today announced that they have entered into a definitive agreement, under which the companies will be combined in a tax-free, all-stock merger of equals with a combined enterprise value of approximately $13 billion, which includes net debt of approximately $1.6 billion.

Under the terms of the agreement, XM shareholders will receive a fixed exchange ratio of 4.6 shares of SIRIUS common stock for each share of XM they own. XM and SIRIUS shareholders will each own approximately 50 percent of the combined company.

Mel Karmazin, currently Chief Executive Officer of SIRIUS, will become Chief Executive Officer of the combined company and Gary Parsons, currently Chairman of XM, will become Chairman of the combined company. The new company's board of directors will consist of 12 directors, including Messrs. Karmazin and Parsons, four independent members designated by each company, as well as one representative from each of General Motors and American Honda. Hugh Panero, the Chief Executive Officer of XM, will continue in his current role until the anticipated close of the merger.

The combined company will benefit from a highly experienced management team from both companies with extensive industry knowledge in radio, media, consumer electronics, OEM engineering and technology. Further management appointments will be announced prior to closing. The companies will continue to operate independently until the transaction is completed and will work together to determine the combined company's corporate name and headquarters location prior to closing.

The combination creates a nationwide audio entertainment provider with combined 2006 revenues of approximately $1.5 billion based on analysts' consensus estimates. Today the companies have approximately 14 million combined subscribers. Together, SIRIUS and XM will create a stronger platform for future innovation within the audio entertainment industry and will provide significant benefits to all constituencies, including:

* Greater Programming and Content Choices -- The combined company is
committed to consumer choice, including offering consumers the ability
to pick and choose the channels and content they want on a more a la
carte basis. The combined company will also provide consumers with a
broader selection of content, including a wide range of commercial-free
music channels, exclusive and non-exclusive sports coverage, news,
talk, and entertainment programming. Together, XM and SIRIUS will be
able to improve on products such as real-time traffic and rear-seat
video and introduce new ones such as advanced data services including
enhanced traffic, weather and infotainment offerings.

* Accelerated Technological Innovation -- The merger will enable the
combined company to develop and introduce a wider range of lower cost,
easy-to-use, and multi-functional devices through efficiencies in chip
set and radio design and procurement. Such innovation is essential to
remaining competitive in the consumer electronics-driven world of audio
entertainment.

* Benefits to OEM and Retail Partners -- The combined company will offer
automakers and retailers the opportunity to provide a broader content
offering to their customers. Consumer electronics retailers, including
Best Buy, Circuit City, RadioShack, Wal-Mart and others, will benefit
from enhanced product offerings that should allow satellite radio to
compete more effectively.

* Enhanced Financial Performance -- This transaction will enhance the
long-term financial success of satellite radio by allowing the combined
company to better manage its costs through sales and marketing and
subscriber acquisition efficiencies, satellite fleet synergies, combined
R&D and other benefits from economies of scale. Wall Street equity
analysts have published estimates of the present value of cost synergies
ranging from $3 billion to $7 billion.

* More Competitive Audio Entertainment Provider -- The combination of an
enhanced programming lineup with improved technology, distribution and
financials will better position satellite radio to compete for
consumers' attention and entertainment dollars against a host of
products and services in the highly competitive and rapidly evolving
audio entertainment marketplace. In addition to existing competition
from free "over-the-air" AM and FM radio as well as iPods and mobile
phone streaming, satellite radio will face new challenges from the rapid
growth of HD Radio, Internet radio and next generation wireless
technologies."We are excited for the many opportunities that an XM and SIRIUS combination will provide consumers," said Gary Parsons, Chairman of XM Satellite Radio and Hugh Panero, CEO of XM Satellite Radio, in a joint statement. "The combined company will be better positioned to compete effectively with the continually expanding array of entertainment alternatives that consumers have embraced since the Federal Communications Commission (FCC) first granted our satellite radio licenses a decade ago."

"This combination is the next logical step in the evolution of audio entertainment," said Mel Karmazin, CEO of SIRIUS Satellite Radio. "Together, our best-in-class management team and programming content will create unprecedented choice for consumers, while creating long-term value for shareholders of both companies. The combined company will be positioned to capitalize on SIRIUS and XM's complementary distribution and licensing agreements to enhance availability of satellite radios, offer expanded content to subscribers, drive increased advertising revenue and reduce expenses. Each of our companies has a strong commitment to providing listeners the broadest range of music, news, sports and entertainment and the best customer service possible. We look forward to sharing the benefits of the exciting new growth opportunities this combination will provide with all of our stakeholders."

The transaction is subject to approval by both companies' shareholders, the satisfaction of customary closing conditions and regulatory review and approvals, including antitrust agencies and the FCC. Pending regulatory approval, the companies expect the transaction to be completed by the end of 2007.

SIRIUS's financial advisor on the transaction is Morgan Stanley and Simpson Thacher & Bartlett LLP and Wiley Rein LLP are acting as legal counsel. XM's financial advisor on the transaction is J.P. Morgan Securities Inc. and Skadden Arps, Slate, Meagher & Flom LLP; Jones Day; and Latham & Watkins LLP are acting as legal counsel.

Conference Call and Webcast Information

The companies will hold a joint conference call and webcast on Tuesday, February 20, 2007 at 8:30 AM ET to discuss this announcement. The conference call can be monitored by dialing 800-573-4840 within the U.S. and 617-224-4326 for all other locations, passcode 29490052. The webcast can be accessed at http://www.sirius.com/ and http://www.xmradio.com/ as well as on their satellite radio services by tuning to SIRIUS channel 122 and XM channel 200. The webcast will be archived at http://www.sirius.com/ and http://www.xmradio.com/.

About SIRIUS

SIRIUS, "The Best Radio on Radio," delivers more than 130 channels of the best programming in all of radio. SIRIUS is the original and only home of 100% commercial free music channels in satellite radio, offering 69 music channels. SIRIUS also delivers 65 channels of sports, news, talk, entertainment, traffic, weather and data. SIRIUS is the Official Satellite Radio Partner of the NFL, NASCAR, NBA and NHL, and broadcasts live play-by-play games of the NFL, NBA and NHL, as well as live NASCAR races. All SIRIUS programming is available for a monthly subscription fee of only $12.95.

SIRIUS Internet Radio (SIR) is a CD-quality, Internet-only version of the SIRIUS radio service, without the use of a radio, for the monthly subscription fee of $12.95. SIR delivers more than 75 channels of talk, entertainment, sports, and 100% commercial free music.

SIRIUS products for the car, truck, home, RV and boat are available in more than 25,000 retail locations, including Best Buy, Circuit City, Crutchfield, Costco, Target, Wal-Mart, Sam's Club, RadioShack and at http://shop.sirius.com/.

SIRIUS radios are offered in vehicles from Audi, Bentley, BMW, Chrysler, Dodge, Ford, Infiniti, Jaguar, Jeep®, Land Rover, Lexus, Lincoln, Mercury, Maybach, Mazda, Mercedes-Benz, MINI, Mitsubishi, Nissan, Rolls Royce, Scion, Toyota, Volkswagen, and Volvo. Hertz also offers SIRIUS in its rental cars at major locations around the country.

Click on http://www.sirius.com/ to listen to SIRIUS live, or to purchase a SIRIUS radio and subscription.

About XM

XM (NASDAQ: XMSR) is America's number one satellite radio company with more than 7.6 million subscribers. Broadcasting live daily from studios in Washington, DC, New York City, Chicago, the Country Music Hall of Fame in Nashville, Toronto and Montreal, XM's 2007 lineup includes more than 170 digital channels of choice from coast to coast: commercial-free music, premier sports, news, talk radio, comedy, children's and entertainment programming; and the most advanced traffic and weather information.

XM, the leader in satellite-delivered entertainment and data services for the automobile market through partnerships with General Motors, Honda, Hyundai, Nissan, Porsche, Subaru, Suzuki and Toyota is available in 140 different vehicle models for 2007. XM's industry-leading products are available at consumer electronics retailers nationwide. For more information about XM hardware, programming and partnerships, please visit http://www.xmradio.com/.

Forward Looking Statements

This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include, but are not limited to, statements about the benefits of the business combination transaction involving Sirius Satellite Radio Inc. and XM Satellite Radio Holdings Inc., including potential synergies and cost savings and the timing thereof, future financial and operating results, the combined company's plans, objectives, expectations and intentions with respect to future operations, products and services; and other statements identified by words such as "anticipate," "believe," "plan," "estimate," "expect," "intend," "will," "should," "may," or words of similar meaning. Such forward- looking statements are based upon the current beliefs and expectations of SIRIUS' and XM's management and are inherently subject to significant business, economic and competitive uncertainties and contingencies, many of which are difficult to predict and generally beyond the control of SIRIUS and XM. Actual results may differ materially from the results anticipated in these forward-looking statements.

The following factors, among others, could cause actual results to differ materially from the anticipated results or other expectations expressed in the forward-looking statement: general business and economic conditions; the performance of financial markets and interest rates; the ability to obtain governmental approvals of the transaction on a timely basis; the failure of SIRIUS and XM shareholders to approve the transaction; the failure to realize synergies and cost-savings from the transaction or delay in realization thereof; the businesses of SIRIUS and XM may not be combined successfully, or such combination may take longer, be more difficult, time-consuming or costly to accomplish than expected; and operating costs and business disruption following the merger, including adverse effects on employee retention and on our business relationships with third parties, including manufacturers of radios, retailers, automakers and programming providers. Additional factors that could cause SIRIUS' and XM's results to differ materially from those described in the forward-looking statements can be found in SIRIUS' and XM's Annual Reports on Form 10-K for the year ended December 31, 2005, and Quarterly Reports on Form 10-Q for the quarters ended March 31, 2006, June 30, 2006 and September 30, 2006 which are filed with the Securities and Exchange Commission (the "SEC") and available at the SEC's Internet site (http://www.sec.gov/). The information set forth herein speaks only as of the date hereof, and Sirius and XM disclaim any intention or obligation to update any forward looking statements as a result of developments occurring after the date of this press release.

Important Additional Information Will be Filed with the SEC

This communication is being made in respect of the proposed business combination involving SIRIUS and XM. In connection with the proposed transaction, SIRIUS plans to file with the SEC a Registration Statement on Form S-4 containing a Joint Proxy Statement/Prospectus and each of SIRIUS and XM plan to file with the SEC other documents regarding the proposed transaction. The definitive Joint Proxy Statement/Prospectus will be mailed to stockholders of SIRIUS and XM. INVESTORS AND SECURITY HOLDERS OF SIRIUS AND XM ARE URGED TO READ THE JOINT PROXY STATEMENT/PROSPECTUS AND OTHER DOCUMENTS FILED WITH THE SEC CAREFULLY IN THEIR ENTIRETY WHEN THEY BECOME AVAILABLE BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT THE PROPOSED TRANSACTION.

Investors and security holders will be able to obtain free copies of the Registration Statement and the Joint Proxy Statement/Prospectus (when available) and other documents filed with the SEC by SIRIUS and XM through the web site maintained by the SEC at http://www.sec.gov/. Free copies of the Registration Statement and the Joint Proxy Statement/Prospectus (when available) and other documents filed with the SEC can also be obtained by directing a request to Sirius Satellite Radio Inc., 1221 Avenue of the Americas, New York, NY 10020, Attention: Investor Relations or by directing a request to XM Satellite Radio Holdings Inc., 1500 Eckington Place, NE Washington, DC 20002, Attention: Investor Relations.

SIRIUS, XM and their respective directors and executive officers and other persons may be deemed to be participants in the solicitation of proxies in respect of the proposed transaction. Information regarding SIRIUS' directors and executive officers is available in its Annual Report on Form 10-K for the year ended December 31, 2005, which was filed with the SEC on March 13, 2006, and its proxy statement for its 2006 annual meeting of stockholders, which was filed with the SEC on April 21, 2006, and information regarding XM's directors and executive officers is available in XM's Annual Report on Form 10-K, for the year ended December 31, 2005, which was filed with the SEC on March 3, 2006 and its proxy statement for its 2006 annual meeting of shareholders, which was filed with the SEC on April 25, 2006. Other information regarding the participants in the proxy solicitation and a description of their direct and indirect interests, by security holdings or otherwise, will be contained in the Joint Proxy Statement/Prospectus and other relevant materials to be filed with the SEC when they become available.

Contacts

[Ksyrup]

The "a la carte" offering could be worrisome, since critics have called out cable/satellite TV companies for suggesting the same thing. If we can't get the same number/variety of channels "a la carte" as we can now, then we are going to get screwed. I bet they offer a basic plan that includes most of the music and talk/news stations, but then we'll have to pay extra for the MLB/NFL/NHL/Stern/A&O, etc., channels. So even if you want to duplicate what you currently have, it will cost more. That's my guess.

[rkmsuf]

The "a la carte" offering could be worrisome, since critics have called out cable/satellite TV companies for suggesting the same thing. If we can't get the same number/variety of channels "a la carte" as we can now, then we are going to get screwed. I bet they offer a basic plan that includes most of the music and talk/news stations, but then we'll have to pay extra for the MLB/NFL/NHL/Stern/A&O, etc., channels. So even if you want to duplicate what you currently have, it will cost more. That's my guess.

Yeah, I don't like this.

[panerd]

The "a la carte" offering could be worrisome, since critics have called out cable/satellite TV companies for suggesting the same thing. If we can't get the same number/variety of channels "a la carte" as we can now, then we are going to get screwed. I bet they offer a basic plan that includes most of the music and talk/news stations, but then we'll have to pay extra for the MLB/NFL/NHL/Stern/A&O, etc., channels. So even if you want to duplicate what you currently have, it will cost more. That's my guess.

I would be very cool with this idea. I think I may be one of the few satellite radio subscribers who listens to 100% music. My only motivation for getting Sirius was how shitty St. Louis (insert any city is my guess) radio had gotten and the MP3 solution had nowhere near the variety XM and Sirius offer. I could care less about NFL (I get Sunday Ticket and watch the games), Stern, MLB, playoby, Maxim, etc. However if my music package ends up being the price I am currently paying for everything right now than I will be a little annoyed.

[FBPro]

I'm quite curious how this is going to play out, practically my whole family has Sirius.....

[stevew]

The "a la carte" offering could be worrisome, since critics have called out cable/satellite TV companies for suggesting the same thing. If we can't get the same number/variety of channels "a la carte" as we can now, then we are going to get screwed. I bet they offer a basic plan that includes most of the music and talk/news stations, but then we'll have to pay extra for the MLB/NFL/NHL/Stern/A&O, etc., channels. So even if you want to duplicate what you currently have, it will cost more. That's my guess.

yeah, that troubled me a lot too.

[jaygr]

I used to want this (without giving it much thought) only because I wanted Sirius to get the punk channel that XM has (which they are getting one in April anyway now so it doesn't matter). But now that it is real and right in front of me, I don't like this one bit. I don't see how it is really going to be much of a good thing for us consumers because you know somehow we are going to have to end up paying more to at least get the same content we get now. I really enjoy Stern and the NFL channel (they are probably my most listened to) and the thought of having to add them like I would a movie channel on cable really pisses me off. I just don't know yet how this could end well.

edit: I wanted to add that I am not trying to jump to conclusions or anything because there are so little facts out right now. I think that like I said, now that sirius is getting a punk channel, XM has nothing that I want. I only really follow the NFL, I don't like O & A, no to Oprah, and most things already have an equivalent on Sirius. So I guess, for myself at least, I don't currently see any benefits.

[Ksyrup]

I wonder how well this will work, if true. I mean, XM tried to offer pay channels (A&O and Playboy), but it flopped and they changed to free (well, A&O anyway). So, they already know that this model likely won't work, unless they're banking on people wanting sports and Stern so badly they're willing to pay for it.

I'm also hoping the rumors about the need to upgrade receivers is just that. I have a built-in receiver in my car and will be damned if I am going to buy a new unit that I have to stick on my dash.

[Flasch186]

WOOHOO I hung onto my sirius stock!!!! Cant wait for tomorrow!!!

huh?

What does this mean for my Sirius shares?


Under the terms of the agreement, XM shareholders will receive a fixed exchange ratio of 4.6 shares of SIRIUS common stock for each share of XM they own. XM and SIRIUS shareholders will each own approximately 50 percent of the combined company.

and


That would value XM shares at $17.02 each, based on Friday's closing prices, representing a premium of 22 percent from XM's closing value of $13.98 Friday. Markets were closed Monday for the Presidents' Day holiday.

[molson]

However if my music package ends up being the price I am currently paying for everything right now than I will be a little annoyed.

You'll be even more annoyed if the merged company uses the new XM model of commercials on most of their music channels.

[Eaglesfan27]

As long as I can use my current receiver, I'm fine with this deal. If not, I will be very annoyed. The "a la carte" aspect is only mildly concerning to me at this point.

[Jas_lov]

I used to want this (without giving it much thought) only because I wanted Sirius to get the punk channel that XM has (which they are getting one in April anyway now so it doesn't matter). But now that it is real and right in front of me, I don't like this one bit. I don't see how it is really going to be much of a good thing for us consumers because you know somehow we are going to have to end up paying more to at least get the same content we get now. I really enjoy Stern and the NFL channel (they are probably my most listened to) and the thought of having to add them like I would a movie channel on cable really pisses me off. I just don't know yet how this could end well.

My thought exactly, except I have XM basically for MLB coverage. I always wanted the NFL too and thought it'd be cool if XM and Sirius merged together, but not if I have to pay more just to get MLB games. It'd be great if they let us keep whatever package we have now and have the rest be a premium package but that probably won't happen. I really hope they don't offer a basic package and then charge current XM subscribers more for MLB and current Sirius subscribers more for NFL. Add in the whole having to change receivers and this could be the worst thing for us.

[molson]

It looks like we'd be looking at least a year and half until this is all sorted out.

[Terps]

As long as I can keep my Roady XT receiver and add Howard Stern to my current XM service I don't care what happens.

[Toddzilla]

You'll be even more annoyed if the merged company uses the new XM model of commercials on most of their music channels.WTF are you talking about? XM has more commercial-free music channels than Sirius does. XM also carries a few channels (3 or 4 tops) per their agreement with Clear Channel which have commercials on them. So while XM doesn't have 100% commercial-free music, they offer more commercial-free music than Sirius does.

[terpkristin]

I guess this could be cool.
I got XM originally because it had ESPNRadio and ACC Coverage. Since getting it I've fallen in love with BPM and the 2 explicit comedy channels, and I'd be lying if I said I didn't use the MLB. As long as I can keep these, I'm totally fine with the merger. ;) :D

/tk

[CU Tiger]

WTF are you talking about? XM has more commercial-free music channels than Sirius does. XM also carries a few channels (3 or 4 tops) per their agreement with Clear Channel which have commercials on them. So while XM doesn't have 100% commercial-free music, they offer more commercial-free music than Sirius does.


I think he was refering to the XM channels, you know how they advrtise for each other 3 times per hour while new playlists are added.

When I had Sirius I never heard this.

I.E. your listening to a top 40 channel and they tell you about their country, or O&A or whatever channel

[molson]

WTF are you talking about? XM has more commercial-free music channels than Sirius does. XM also carries a few channels (3 or 4 tops) per their agreement with Clear Channel which have commercials on them. So while XM doesn't have 100% commercial-free music, they offer more commercial-free music than Sirius does.

I was mistaken. In which case, I have to wonder whether the revenue coming from commercial advertising on 3 or 4 stations (that presumably no one would listen to), is worth the bad press (even if exaggerated) of being less than 100% commercial free. After all, it's the people that don't have XM (potential customers) who are going to misunderstand this impact.

[Toddzilla]

It's really weird to think of Howard Stern promoting "XM radio", if that's indeed the trade name that emerges. I wonder if he has anything in his contract what Sirius agrees to in that regard.Not *that* strange...he's done it before...;)

hxxp://afro202.com/archives/XM-Foundry/04132005_howie_endorses_xm.mp3

[Toddzilla]

Wait a second....

Hasn't Dish Network and DirecTV already tried this? I think the SEC was VERY clear on those merger implications before they shot it down. I don't really see how this is much different.

Also, I think the FCC has quite a bit of pull within the SEC - basically dictating to them how to handle the terrestrial radio mergers on the 90s - and they are going to be dead-set against any XM/Sirius merger, so I'm not convinced this is going to happen any time soon.

[Logan]

Wait a second....

Hasn't Dish Network and DirecTV already tried this? I think the SEC was VERY clear on those merger implications before they shot it down. I don't really see how this is much different.

Also, I think the FCC has quite a bit of pull within the SEC - basically dictating to them how to handle the terrestrial radio mergers on the 90s - and they are going to be dead-set against any XM/Sirius merger, so I'm not convinced this is going to happen any time soon.

I think the best reasoning for why this will go through is...these companies will eventually die if it doesn't happen. There's way too much money being lost for the format to survive the way it's constructed now.

[JonInMiddleGA]

In which case, I have to wonder whether the revenue coming from commercial advertising on 3 or 4 stations (that presumably no one would listen to), is worth the bad press (even if exaggerated) of being less than 100% commercial free.

In fairness to XM, they aren't carrying the ads for the revenue they generate, they're carrying the ads because they are contractually obligated to Clear Channel to do so. Part of the deal that saw CC invest in XM included them (CC) providing programming for several channels & in return CC had the right to sell commercial time on those channels.

XM needed the money from CC, while CC was hedging their bet on the future of broadcast ever so slightly by investing and getting a chance to experiment with the medium a little bit. By all accounts I hear, both sides will be happy enough to see their contractual agreement come to an end, as the negative press wasn't something XM wanted & CC never really managed to generate any significant revenue from their channels

(Wanna advertise? You can for as little as $30 a spot & about as many spots as you want. To put that in perspective, $30 is less than it costs to run a spot 7p-12a on the Modern Rock station Huntsville, Alabma)

[stevew]

Honestly, I wouldn't even care if they offered a reasonable amount of commercials in any of the music channels, but I would hope that they would lower the rates if they were going to switch to that type of financial model. Commercial free doesn't matter as much to me as having a wide variety of choices, and good reception.

[Ksyrup]

I don't care at all about commercials. I tend to use my satellite radio the same way I use the TV - when a commercial comes on, I can choose from 1 of the other 200 channels to listen to. I rarely if ever hear a single XM commercial. And with some channels, I know the general format of the show and avoid certain times when I know commercials are likely to be going (especially ESPN and Comedy Channel).

About the only other thing I have to watch is surfing the uncensored channels. Saturday I came close to letting the young ones hear "FORTY FUCKING TWO!" as I surfed past Liquid Metal. It was a close call. I would have been meat.

[panerd]

You guys have to be kidding about the commericials. This is the only reason I have satelitte radio. The only one.

[Eaglesfan27]

The commercials don't bother me at all either. I listen to about 8-10 channels primarily. If a commercial comes on one that I'm listening to, I switch to another. I never hear commercials. The main benefit of satelitte for me is choice of programming and always having clear reception.

[spleen1015]

I hope this means I will be able to listen to Tony Stewart's show on Sirius.

[heybrad]

Commercial free is a big deal to me. It's the main reason I can't listen to free radio anymore. This is nothing more frustrating than changing the channel 5 times only to have commercials on every channel.

[Toddzilla]

Additionally, all of the non-music formats on XM run commercials sold by XM. I don't know how much money they generate, but I'm sure it wasn't insignificant.

The XM Kids station used to run commercials, too. Between Justin Roberts and The Imagination Movers, you'd occasionally hear an ad for Trix or Snackables. We complained a bunch - the DJs hated them, too - and eventually managemnt got rid of them.

[Bee]

Wait a second....

Hasn't Dish Network and DirecTV already tried this? I think the SEC was VERY clear on those merger implications before they shot it down. I don't really see how this is much different.

Also, I think the FCC has quite a bit of pull within the SEC - basically dictating to them how to handle the terrestrial radio mergers on the 90s - and they are going to be dead-set against any XM/Sirius merger, so I'm not convinced this is going to happen any time soon.

That's what I was thinking too, but I read an article last night that was saying the satellite merger really fell apart because there are places in the US that satellite was the only real option (no cable and no OTA options). The article was saying that's going to be a much harder case to make for satellite radio because of better coverage of terrestrial radio stations across the country. The same article I think mentioned that politically this was much more likely to go through now than if the merger were to take place a year to two from now.

I still wouldn't be surprised if this gets shot down, but I'm definitely no expert. It will be interesting to follow though and see what happens.

[Ksyrup]

FYI, here's the email I received as an XM subscriber:



February 20, 2007


Dear XM Radio Subscriber:

We want to share with you some exciting news: Yesterday, in Washington DC, we announced XM Radio will be merging with Sirius Satellite Radio to form the premier digital audio service.

The merger will create a satellite radio company that will provide consumers across the country with more and better premium radio programming. The combined company will be able to compete better in what has become a very complex and dynamic entertainment market.

Where today our exclusive contracts mean you had to choose between baseball and football or Oprah and Martha Stewart, the new company will seek to ensure that in the future, you will be able to access both companies' programming. And, once we are fully integrated, those of you who have factory-installed satellite radio will no longer be limited to the programming provided by the exclusive satellite radio service chosen by their car manufacturer.

This merger should be completed in late 2007 or early in 2008. Throughout the year, we will provide updates on how the merger is progressing and information will be available at our website, www.xmradio.com (http://www.xmradio.com/).

Between today and the merger date, as well as during the period immediately after the merger date, all of your services will remain the same. The channel lineup, the customer service number, the great music technology, and the XM Radio web site will all remain unchanged and there will be no disruption to service. But, if you have questions, information will be available and maintained on our website, and you can contact our Listener Care team at 800-XMRADIO, with questions and concerns.

XM Radio continues to be committed to providing you the highest quality audio entertainment and customer service available today. After the merger, our new company will be able to offer you the most exciting listening experience in radio.

Sincerely,

Hugh Panero
CEO, XM Satellite Radio

[Toddzilla]

Given that Hugh is getting kicked to the curb, dontcha thing they could have gotten someone relevant to write a letter to the subscribers?

Even if/when the merger bombs, he's certainly out of a job.

[JonInMiddleGA]

Additionally, all of the non-music formats on XM run commercials sold by XM. I don't know how much money they generate, but I'm sure it wasn't insignificant.

Actually, it almost certainly was insignificant. It wasn't meant to be, but that's how it turned out.

From day one, there have been problems getting the ads to sell at any meaningful price because the relatively low number of listeners on any given channel at a time. And when you're bleeding money at the pace the satellite companies have, it takes a pretty good chunk of change to become "significant".

[path12]

You guys have to be kidding about the commericials. This is the only reason I have satelitte radio. The only one.

Word. I can't imagine ever subscribing unless it was commercial free.

[JonInMiddleGA]

Interesting stats coming from the first Arbitron ratings to include satellite radio listening.

Press release yesterday (http://vocuspr.vocus.com/VocusPR30/Newsroom/Query.aspx?SiteName=arbitron&Entity=PRAsset&SF_PRAsset_PRAssetID_EQ=137415&XSL=PressRelease&Cache=True) on the first set of data included the following tidbits:
-- The sum all of listening reported to the 297 channels that received a mention amounted to 3.4% of all listening
-- Highest reported AQH for any channel was 0.2 percent, average for all channels mentioned was 0.009 percent
-- Roughly 5.6% of all diarykeepers reported listening to satellite at some point
-- While satellite listeners are heavier than average users of radio
(33 hours/wk versus 19/week for non-satellite), their reported listening showed more AM/FM use (14 hours) than satellite (10.75 hours) or internet (8.25)

Individual channel data was not released as the system is still being adjusted to accomodate that information.

[Logan]

-- While satellite listeners are heavier than average users of radio
(33 hours/wk versus 19/week for non-satellite), their reported listening showed more AM/FM use (14 hours) than satellite (10.75 hours) or internet (8.25)

I would think a stat like this is slam-dunk proof that a merged XM/Sirius wouldn't be a monopoly.

[JonInMiddleGA]

I would think a stat like this is slam-dunk proof that a merged XM/Sirius wouldn't be a monopoly.

{shrug} Goes back to the question of what's being monopolized - satellite radio or radio et al.

And as I mentioned before, if they're considered part of the latter, then would have to be a strong look at making them subject to same/similar regulations to the former, otherwise the government is unbalancing the playing field.

[Bee]

{shrug} Goes back to the question of what's being monopolized - satellite radio or radio et al.

And as I mentioned before, if they're considered part of the latter, then would have to be a strong look at making them subject to same/similar regulations to the former, otherwise the government is unbalancing the playing field.


What regulations are you referring to? I always thought satellite radio had similar regulations with a few differences like cable tv vs network tv.

[JonInMiddleGA]

What regulations are you referring to? I always thought satellite radio had similar regulations with a few differences like cable tv vs network tv.

The most obvious thing that comes to mind is content, which has been largely unregulated for satellite radio.

I'm not against the merger per se, but if they want to avoid monopoly regulations by saying that they're "radio" instead of "satellite radio" then I strongly believe they should play under the same rules.

(and just FTR, that's a consistent belief for me, I feel the same way about cable/broadcast TV)

[Bee]

The most obvious thing that comes to mind is content, which has been largely unregulated for satellite radio.

I'm not against the merger per se, but if they want to avoid monopoly regulations by saying that they're "radio" instead of "satellite radio" then I strongly believe they should play under the same rules.

(and just FTR, that's a consistent belief for me, I feel the same way about cable/broadcast TV)


ok thanks for the clarification. I don't necessarily agree they should have the same content regulations to be considered a direct competitor, but my gut feeling is they will have a hard road ahead to get this merger through.

[Cringer]

A few things to say on this in regard to other posts in this thread. I am a little slow on this because I was on the road.

So listening to Sirius on the road got me some information, the big stuff came mostly from Mel Karmizin when he was on Howard Stern. First off, Karmizin said prices will not go up, that would be counter subscriber growth. He even told Congress on Wed. that he would agree to a price cap. The merger is good for consumers, because they wouldn't feel they have to choose between two different services that offer two different things (mainly when it comes to sports, and then some talk shows). I agree with this. I would love to get baseball, but I won't give up what Sirius gives me to get XM for baseball.

He also said that they would remain commercial free on the music channels I believe, but that the talk would still have it as they do now on both XM and Sirius. (Talk shows pretty much NEED to have breaks, for the people talking and producing the show anyways)

As for Opie and Anthony, it was pretty much made clear that they would be gone when their contract was up, unless they decided to go exclusively satellite.

The arguement for if it is a monopoly is a good one in my opinion, but I am no expert. He argues that Satellite radio is not only in competition with regular radio, but also MP3 players and internet radio. I can buy that, and in that case I can see how they also wouldn't need to be censored as regular radio as JimG talks about. That is the sales pitch anyways, who knows if the government will buy it all....

Someone else who brought up something interesting was Martine Rothblatt, who is considered the inventor of satellite radio I guess. She used to be a he actually, and also invented the system that tracks my work life (commercial vehicles) and started a company that cured his/her daughters life theatening illness. Anyways, he said that satellite radio was meant to be on a certain frequency, and that when Sirius was started the government thought there should be atleast two companies so they split that frequency. The merger would actually allow the new company the full frequency, which would improve satellite radio....another positive for consumers. One of the things that this will make easier is for video to be sent over the satellites, straight into peoples cars. Pretty cool stuff.

[Ksyrup]

Not really news, more propaganda supporting the merger, I suppose. Anyone heard anything about the merger recently?




Merged satellite radio companies would offer channel choice (http://abclocal.go.com/wls/story?section=nation_world&id=5503681)

July 23, 2007 (WASHINGTON) - The top executives at the nation's two satellite radio companies detailed pricing plans Monday that they said would let customers choose which channels they want to receive if the two firms are permitted to merge.

XM Satellite Radio and Sirius Satellite Radio announced the $4.7 billion merger last February. The combination requires approval from antitrust regulators and the Federal Communications Commission.

The pricing plans announced Monday range from $6.99 per month for 50 channels offered by one service to $16.99 per month where customers would keep their existing service, plus "chose from the best" of channels offered by the other service.

That means a customer could subscribe to both the Major League Baseball channel on XM and the National Football League channel offered by Sirius, on the same radio.

Currently, the price of a monthly subscription for both companies is $12.95 and there is no channel choice, or "a la carte" option.

A combination of Sirius and XM, which broadcast to a combined 14 million subscribers, faces steep regulatory challenges, however. When the companies received their licenses from the FCC to begin offering subscription radio service via satellite, they agreed not to merge.

The companies must prove to the Justice Department that the deal is not anticompetitive. They must also prove to the FCC that a merger would be in the best interest of the public, which owns the airwaves the two companies use to deliver their signals.

Sirius CEO Mel Karmazin, in a speech at the National Press Club in Washington on Monday, said the U.S. is in a "revolutionary age of audio entertainment" and that the companies must compete with a whole range of products that weren't around when the licenses were first issued.

He said the companies compete with free services, including portable digital music players, cell phones that download music, digital radio and the "800-pound gorilla" that is terrestrial radio.

The National Association of Broadcasters opposes the merger, calling it a "government-sanctioned monopoly."

Spokesman Dennis Wharton said in a written statement that policymakers "should not be hoodwinked" by the announcement. He said the "a la carte" option would require customers to buy new radios and he said that nothing in the past has prevented either company from offering an a la carte option before.

Karmazin noted that the NAB itself claims satellite radio is a competitor when it lobbies the FCC to loosen limits on radio station ownership. He said the NAB is "not just in conflict with us, they are in conflict with themselves."

Karmazin said savings to be realized with a merger would amount to "hundreds of millions of dollars per year" thanks to a drop in expenses. Such a savings is what would make the "a la carte" packages possible.

He noted that Sirius has never turned a profit in its 17-year history and lost $1 billion last year, but insisted if the proposed merger does not go through, nothing will change.

"I believe both companies will be able to compete in a robust market," he said.

If a merger is approved, the combined company would offer a total of eight different packages.

The lowest-priced "a la carte" package would offer 50 stations from one service for $6.99 per month, plus additional non-premium stations within the service at 25 cents apiece. Premium programming, however, like professional sports and the Howard Stern show, would cost $5 or $6 more.

A second "a la carte" plan would let customers tune in to 100 channels, mostly from one service, plus a handful of "best of" channels on the other service, for $14.99.

Both the a la carte packages would require the purchase of a new radio, the companies said.

Other packages would include family friendly lineups, a music package and a news talk package, both for $9.99. Customers happy with their existing service would still pay $12.95 per month.

Consumer groups have opposed the merger.

Chris Murray, senior counsel at Consumers Union, the nonprofit publisher of "Consumer Reports" magazine, called the announcement an "interesting positive development." However, he said, the merger of the two companies would still result in a monopoly, which would ultimately be bad for consumers.

Sirius and XM hope to close the deal by the end of the year.

[JonInMiddleGA]

I thought one of the key phrases in the whole announcement today was the bit about "A la carte programming will only be available for subscribers using new radios, which will be developed following approval of the merger."

In other words, we'll give it to you cheaper in the long run if you'll just give us some quick cash up front.

[terpkristin]

Not really news, more propaganda supporting the merger, I suppose. Anyone heard anything about the merger recently?

I saw on SatNews, I think this morninig, that Cardinal Egan (of New York) wrote an opinion piece in the NY Post about how he supports the merger.

I think it was also there that I read that when they seek public comment, the FCC is usually leaning towards approving things. I don't recall when the public comment period closes, though.

/tk

[Anthony]

i firmly believe satellite radio is worth about $7, as opposed to the $12 i currently pay. the sound quality is poor, reception is not satisfactory, a handful of stations play commercials (on XM) and overall i want more selections than is currently given. lots of channels, yes, but not lots of stuff i would listen to.

$7 month for hopefully better quality sound and choosing 50 channels (i don't even like more than 20 channels on XM, but the 5 stations i do like i really love) is a deal for me. i don't listen to sports on the radio so i'd be happy not to pay for something i didn't use. XM should be charging $7 a month right now anyway and they'd see subscribers increase. they shouldn't have had 2 companies to begin with, a fledgling medium first needs to show it's viable and a good enough alternative, then you can branch off into separate companies with different options (why should i choose between XM with MLB or Sirius with NBA/NFL? give me both, make me convert and then screw me over afterwards, after i've got used to being a satellite customer). you also have to give people a good reason to pay for something they can get for free. satellite radio got a little too ahead of itself and now it seems to want to go back to how it should have been all along.

[cougarfreak]

i firmly believe satellite radio is worth about $7, as opposed to the $12 i currently pay. the sound quality is poor, reception is not satisfactory, a handful of stations play commercials (on XM) and overall i want more selections than is currently given. lots of channels, yes, but not lots of stuff i would listen to.

$7 month for hopefully better quality sound and choosing 50 channels (i don't even like more than 20 channels on XM, but the 5 stations i do like i really love) is a deal for me. i don't listen to sports on the radio so i'd be happy not to pay for something i didn't use. XM should be charging $7 a month right now anyway and they'd see subscribers increase. they shouldn't have had 2 companies to begin with, a fledgling medium first needs to show it's viable and a good enough alternative, then you can branch off into separate companies with different options (why should i choose between XM with MLB or Sirius with NBA/NFL? give me both, make me convert and then screw me over afterwards, after i've got used to being a satellite customer). you also have to give people a good reason to pay for something they can get for free. satellite radio got a little too ahead of itself and now it seems to want to go back to how it should have been all along.

There's always the option to not pay, and listen to normal radio for free.

[BigMak]

i firmly believe satellite radio is worth about $7, as opposed to the $12 i currently pay. the sound quality is poor, reception is not satisfactory, a handful of stations play commercials (on XM) and overall i want more selections than is currently given. lots of channels, yes, but not lots of stuff i would listen to.

$7 month for hopefully better quality sound and choosing 50 channels (i don't even like more than 20 channels on XM, but the 5 stations i do like i really love) is a deal for me. i don't listen to sports on the radio so i'd be happy not to pay for something i didn't use. XM should be charging $7 a month right now anyway and they'd see subscribers increase. they shouldn't have had 2 companies to begin with, a fledgling medium first needs to show it's viable and a good enough alternative, then you can branch off into separate companies with different options (why should i choose between XM with MLB or Sirius with NBA/NFL? give me both, make me convert and then screw me over afterwards, after i've got used to being a satellite customer). you also have to give people a good reason to pay for something they can get for free. satellite radio got a little too ahead of itself and now it seems to want to go back to how it should have been all along.

I am very happy with the selection Sirius offers. The Howard Stern lineup is great and I think the music choices are very good. It is much better than anything I can hear on terrestrial radio. I have no problem paying $12 a month for the service. I originally signed up for Stern. When he leaves radio, I will keep Sirius. I could never go back to listening to the music choices on free radio.

I am not happy with the merge and do not think I will pay $16 for Sirius and some XM channels. The only thing XM has which I would listen to is MLB. But baseball is a regional sport and I can listen to my teams on AM.

[terpkristin]

I am not happy with the merge and do not think I will pay $16 for Sirius and some XM channels. The only thing XM has which I would listen to is MLB. But baseball is a regional sport and I can listen to my teams on AM.

The only way I'll be happy with the merger is if I can avoid getting a new head unit for my car. My (new) car came equipped with Sirius, and I've been slacking (just haven't had time to do it) on taking out the head unit and replacing it with an XM unit. I, however, am an XM subscriber, so this causes problems for my XM listening (right now I'm using a Delphi SkyFi2 which I hate).

I went with XM for baseball. Unfortunately, I'm a Red Sox fan and I live in the DC area so unless they're playing the O's or the Nats (interleague), the only way I can get Boston games is through XM. If I can keep my current lineup of channels (the XM lineup that is) and not change my head unit, mega bonus for me. If I can't change my head unit...well, it's really no different than where I was when I bought the car, needing to do so.

/tk

[Ksyrup]

I'm sure, like most things, my experience/preference is completely different than most, but my feeling is that I do not care about having portable satellite radio, nor do I care about having it in the house, and the only way I'll have it in the car is if the car comes equipped with it. I'm not replacing the pre-installed stereo unit. I seriously considered getting a separate unit for my wife's van, but after looking at the cost, the size of the unit, the issues I've read about getting good reception basically mandating that someone install it directly into the radio wiring, and the problem of finding a place to put it on the dash that is convenient but not in the way...I couldn't justify paying over $200 for the honor of paying an additional $7 a month. We have an Odyssey, and I couldn't find a single place to put the unit that wouldn't have been in the way of something on the dash, or getting direct air/heat, etc.

Again, I'm not sure if I'm an insignificant minority or what, but I'm past the days when I would tear up my car to put in a good sound system, and I'm WAY past the days when I would have my portable CD player bouncing around on a stand hanging off of my dash (which is what this reminds me of). Unless it comes with the car, I'm simply not interested.

[Cringer]

ping: assholes in the DOJ and FCC

Time to wake up already.

http://img.photobucket.com/albums/v250/Cringer/merger.jpg

When Sirius Satellite Radio Inc. and XM Satellite Radio Holdings Inc. announced their plans to merge, no one expected the process to be easy. But what I don't think anyone expected, was for the process to take so long.

Oh sure we knew there was trouble when the preliminary review process dragged on to the point that it earned the dubious distinction of the longest application-to-clock delay in FCC history. But that simply meant that the Commission was dragging its feet in starting its unofficial shot-clock - a timeline that made no difference anyway, since the FCC blew past the deadline regardless.

But the Department of Justice had already begun its process long before. XM and Sirius even certified their compliance with the DOJ's Second Request back in early September, causing industry experts to predict a decision as early as October (the Second Request compliance usually triggers a 30-day clock).

So here we are, 342 days later, and still no decision in sight.

Take a look at the graph above, mergers with far bigger valuations and/or far more monopolistic concerns, were decided upon earlier than the XM-Sirius merger. That graph illustrates the length of time from when a merger was announced, to when a government body actually made a decision.

And remember, Sirius-XM haven't had a decision yet, so that red bar will continue to grow.

It's sad, because in the case of Whirlpool-Maytag, the washer/dryer market was consolidated to a 70% share and it was ultimately approved by the FTC. In the case of Whole Foods-Wild Oats, the FTC charged that prices could go higher, while quality and service could get reduced - but that deal ultimately went through - in almost half the amount of time that Sirius-XM have been in limbo.

Need more examples? The FCC approved the AT&T-Bellsouth merger (valued at a whopping $85 billion - Sirius/XM is estimated to be 10% of that), which controls 22 states, and includes local phone service to 70 million residents - in some states, it made AT&T the only choice for business access services. Google's purchase of DoubleClick combined the two largest online advertising distributors - which was criticized for hurting competition by two companies that are no stranger to antitrust concerns: Microsoft and AT&T - and it was ultimately approved as well.

Even EchoStar-DirecTV, arguably the most similar to the Sirius-XM merger - and was ultimately denied by the FCC - took less time to come to a decision than the satellite radio merger.

Echoing the sentiment of others: it's time for the government to come to a decision. Whether it be to approve or deny the merger, the DOJ and the FCC need to stop stalling, and start acting. Not only investors, but also consumers and especially employees, of both Sirius and XM are suffering at the expense of the government's indecision. And this constant state of speculation needs to end.

Make the decision, and let's move on.

[Honolulu_Blue]

The DOJ woke up and cleared the deal today. The merger is still pending FCC clearance.

[Cringer]

I heard this a little bit ago, very good news.

[Toddzilla]

The only real way the combined company is going to be able to save money is to drastically cut down the workforce. That's probably going to mean that many many people at XM will be losing their jobs, including most of the on-air talent - since Mel would be foolish not to keep his own guys in place.

That would mean the gang at XM Kids losing their jobs, and that makes me very sad.

[Ksyrup]

That's what I'm a bit worried about. I like Liquid Metal, Da Boneyard, and XM's uncensored comedy channel. Does Sirius have anything like these? I'm hoping they keep the channels from each that would fill holes in each other's programming, but I assume that one set of similar channels will be shut down.

[rkmsuf]

That's what I'm a bit worried about. I like Liquid Metal, Da Boneyard, and XM's uncensored comedy channel. Does Sirius have anything like these? I'm hoping they keep the channels from each that would fill holes in each other's programming, but I assume that one set of similar channels will be shut down.

Sirius has the same stuff.

[Honolulu_Blue]

That's what I'm a bit worried about. I like Liquid Metal, Da Boneyard, and XM's uncensored comedy channel. Does Sirius have anything like these? I'm hoping they keep the channels from each that would fill holes in each other's programming, but I assume that one set of similar channels will be shut down.

I am sure that's the plan. They will pick and choose among the best channels of each and make sure they have all their bases covered. Obviously there will be some overlap and some of those shows will get cut. A lot of the cost savings will also be through reductions in work force unrelated to what's on the air (e.g., sales people, technicians, execs, etc.)

It will be interesting to see what they do pricing wise. On one hand, they can't just raise prices willy-nilly. The DOJ can come back and bring suit forcing the companies to unwind the deal. (FTC recently won a suit against two hospitals that merged in Chicago a few years ago. They initially cleared the transaction, the combined hospital rose prices, and the FTC swooped in and brought suit. The hospitals did not end up getting split, but there were some remedies enforced.)

That said, the new XM/Sirius will be offering a product that has a lot more programming than either did individually. One would have to think that the ability to get Howard Stern, Oprah, and all the NBA, NHL, MLB, NFL games would be worth more (and cost more to provide), so some price increase would undoubtedly be justified, if not necessary.

[Ksyrup]

That said, the new XM/Sirius will be offering a product that has a lot more programming than either did individually. One would have to think that the ability to get Howard Stern, Oprah, and all the NBA, NHL, MLB, NFL games would be worth more (and cost more to provide), so some price increase would undoubtedly be justified, if not necessary.


This is from an article I posted above from last July:

"The pricing plans announced Monday range from $6.99 per month for 50 channels offered by one service to $16.99 per month where customers would keep their existing service, plus "chose from the best" of channels offered by the other service."

I assume this means that in order for me to get the NFL, I'll have to pay another $4/month. However, it's interesting that they refer to "50 channels offered by one service" and to "keeping their existing service," which suggests that they would be offering duplicative channels, doesn't it? If this is still on the table, you can't cut the rock channels of one service and only have rock channels of the other. Or, if they do that, then the "choice" is largely illusory, and you've basically got to go with the combined, higher price package to truly get a wide range of channels.

Either way, I think just to cover all the sports, we're going to be paying around $17/month.

[Honolulu_Blue]

This is from an article I posted above from last July:

"The pricing plans announced Monday range from $6.99 per month for 50 channels offered by one service to $16.99 per month where customers would keep their existing service, plus "chose from the best" of channels offered by the other service."

I assume this means that in order for me to get the NFL, I'll have to pay another $4/month. However, it's interesting that they refer to "50 channels offered by one service" and to "keeping their existing service," which suggests that they would be offering duplicative channels, doesn't it? If this is still on the table, you can't cut the rock channels of one service and only have rock channels of the other. Or, if they do that, then the "choice" is largely illusory, and you've basically got to go with the combined, higher price package to truly get a wide range of channels.

Either way, I think just to cover all the sports, we're going to be paying around $17/month.

I don't have either service. How does the $17/month compare to what you're paying today?

While I am not familiar with the details, I don't think the pay for sports packages idea is a bad way to go. I'd be willing to shell out some extra cash for the NHL and NFL, but I don't think I'd want to spend money on the MLB or NBA.

[Ksyrup]

On either service, the cost is $12.95/month right now.

[Anthony]

i'm game for anything that lowers the price. the sound quality is horrendous and going under bridges severely hampers the signal. it's worse than radio which is alarming since satellite is a pay service. some of the pop stations on XM play the same songs on heavy rotation, sometimes at the same time which is not justifiable. XM even has some channels that has commercials. satellite radio has a loooong way to go to compete with radio, let alone ipods. charge less and i'd be happy. for $13 a month i can essentially download 13 songs per month or one album off itunes.

[Ksyrup]

Being able to listen to as much baseball and college football as I want while driving, and getting ESPN Radio and other talk/news stations without loss of signal while driving hundreds of miles across the country, is worth $13/month to me. And I also like the metal/comedy channels, which give me stuff I wouldn't otherwise hear. Aside from that, I really don't listen to any of the other channels.

[rkmsuf]

i'm game for anything that lowers the price. the sound quality is horrendous and going under bridges severely hampers the signal. it's worse than radio which is alarming since satellite is a pay service. some of the pop stations on XM play the same songs on heavy rotation, sometimes at the same time which is not justifiable. XM even has some channels that has commercials. satellite radio has a loooong way to go to compete with radio, let alone ipods. charge less and i'd be happy. for $13 a month i can essentially download 13 songs per month or one album off itunes.

the sound quality is really good if you use the right setup

transmitting to your fm radio via and unused frequency is the worst option

I can't speak for XM but on Sirius not one music channel has any commericals.

Satellite radio is superior to terrestrial radio. At least Sirius is. Maybe XM is different. Dunno.

[Toddzilla]

On either service, the cost is $12.95/month right now.I'm paying $8.99/mo. on all my XM subs.

[Dr. Sak]

How?

[JonInMiddleGA]

From today's Tom Taylor newsletter (from radio-info.com)

So the DOJ approves XM+Sirius: Now, what conditions will the FCC squeeze out of them?

Yesterday afternoon the Department of Justice issued its opinion – that it won’t try to block the merger of the only two satellite radio licensees. Now the cameras and the floodlights are on the Portals, where the FCC is the last obstacle Mel Karmazin and Gary Parsons must overcome. Unlike the situation at Justice, the FCC has the ability and the inclination to exact changes, in the form of conditions. Sirius boss Mel Karmazin thought he’d gone a million miles in that direction with last year’s pledge to offer the merged service – but only the merged service – with “a la carte” pricing. He knows that Chairman Kevin Martin adores that approach and devoutly wishes he could impose it on the cable industry. But forces both inside the Commission (the highly vocal Commissioner Michael Copps) and outside (including the minority investment firm Georgetown Partners) want more, in exchange for approval. We now know that Georgetown has met with various folks at the FCC literally dozens of times, asking for some kind of set aside for minority programming. We don’t know if it’s proposing that some of the merged company’s equity be shared, or simply that its programming be more diverse. Last week Martin said he’s at the stage of asking his staff to draw up options for XM+Sirius. But that a decision’s unlikely any time here in March. So – XM and Sirius wait. And they lobby. The NAB’s indignation was immediate: “We are astonished the Justice Department would propose granting a monopoly to two companies that systematically broke FCC rules for more than a decade.”

[Anthony]

the sound quality is really good if you use the right setup

transmitting to your fm radio via and unused frequency is the worst option

I can't speak for XM but on Sirius not one music channel has any commericals.

Satellite radio is superior to terrestrial radio. At least Sirius is. Maybe XM is different. Dunno.

that's what i do - play XM through certain unused radio stations. i'll have to look into this now cuz i'm open to making any improvements.

the potential of satellite radio is great, as is having commercial-free radio and access to a vastly larger selection of music. that is worth paying for. if i can get the sound quality to improve or at least have the signal remain more consistent i'll be happy.

this is the best move for satellite radio. i always said 2 companies vying for the same infant service is too much. they should've focused on getting as many subscribers as possible, then after the model proved to be successful and profitable could you introduce other companies and options. but satellite radio was too young to make people start having to decide between Stern and O&A and NFL and MLB. what if i wanted O&A and NFL (which i did)? i'm really hoping for some creative price plans where i pick and choose which stations i want. that'd be great.

[Cringer]

We now know that Georgetown has met with various folks at the FCC literally dozens of times, asking for some kind of set aside for minority programming. We don’t know if it’s proposing that some of the merged company’s equity be shared, or simply that its programming be more diverse.

WTF? Is there not enough channels geared toward Native Americans on satellite radio or some other minority? I know it can't be because of a lack of black or hispanic stations......

[Ksyrup]

LOL at mandatory minority programming on a paid subscription radio service.

[rkmsuf]

that's what i do - play XM through certain unused radio stations. i'll have to look into this now cuz i'm open to making any improvements.

the potential of satellite radio is great, as is having commercial-free radio and access to a vastly larger selection of music. that is worth paying for. if i can get the sound quality to improve or at least have the signal remain more consistent i'll be happy.

this is the best move for satellite radio. i always said 2 companies vying for the same infant service is too much. they should've focused on getting as many subscribers as possible, then after the model proved to be successful and profitable could you introduce other companies and options. but satellite radio was too young to make people start having to decide between Stern and O&A and NFL and MLB. what if i wanted O&A and NFL (which i did)? i'm really hoping for some creative price plans where i pick and choose which stations i want. that'd be great.

I used to use the fm transmitter but the static was driving me bonkers. I bought a car tape deck adapter that plugs into the Sirius unit and bingo, perfect reception.

Now if you don't happen to have a tape deck in your car you there are a couple other options(at least on the sirius unit). You can utilize an input port on your stereo if you have one with an adapter a la an mp3 player or you can even wire the thing directly to your radio if one was so inclined to.

Anywho, that eliminates static. Bridges, you'll have to tear them down to fix that one.

[rkmsuf]

LOL at mandatory minority programming on a paid subscription radio service.

Sirius has like 10 rap channels and ESPN Desportes. Does that count?

And Korean News. I'm pretty sure Koreans aren't in the majority over here.

[Anthony]

shouldn't they determine, first, if there is a large enough of a minority-base actually paying for satellite radio before they lobby for minority-centric stations? without sounding racist i would readily assume there aren't a lot of minorities paying for satellite radio. this is like demanding there be more stations geared towards WWII vets.

and what do they mean by this anyway - there are stations that play urban music, world music and spanish stations. they must mean they want more minorities in positions of power.

[Anthony]

Bridges, you'll have to tear them down to fix that one.

that's an option i'm not taking off the table. my musical enjoyment is more of a priority than mass transport.

[rkmsuf]

shouldn't they determine, first, if there is a large enough of a minority-base actually paying for satellite radio before they lobby for minority-centric stations? without sounding racist i would readily assume there aren't a lot of minorities paying for satellite radio. this is like demanding there be more stations geared towards WWII vets.

and what do they mean by this anyway - there are stations that play urban music, world music and spanish stations. they must mean they want more minorities in positions of power.

Shit, Dana Dane already hosts a show and Jamie Fox has his own channel. What more must the man give.

[Toddzilla]

How?I pre-paid for 3-years of service 6 years ago, and I'm grand-fathered into that price tier on all my subs - that is until Mel comes in and fucks it all up.

[Cringer]

Sirius has like 10 rap channels and ESPN Desportes. Does that count?

And Korean News. I'm pretty sure Koreans aren't in the majority over here.

Throw in The Foxx Hole, 3-4 spanish music channels, jazz(?), and that Robin Quivers is black and it's all good.

[rkmsuf]

Throw in The Foxx Hole, 3-4 spanish music channels, jazz(?), and that Robin Quivers is black and it's all good.

Don't forget Riley Martin has his own show.

[Cringer]

Doh, I forgot about him. Crap, he covers the alien minority even.

[Ksyrup]

I tihnk it's a minority ownership issue...




Jackson Slams XM-Sirius Merger
Rainbow/PUSH Coalition Founder, Leadership Conference on Civil Rights’ Henderson Testify at FCC Media-Ownership Hearing
By John Eggerton -- Broadcasting & Cable, 10/31/2007 12:48:00 PM
Rainbow/PUSH Coalition founder the Rev. Jesse Jackson attacked broadcast consolidation Wednesday, but he also handed TV stations more ammunition in their fight against the merger of XM Satellite Radio and Sirius Satellite Radio.


At a Federal Communications Commission hearing Wednesday on the effects of consolidation on media ownership, Jackson echoed his long-standing complaints about the lack of minority ownership and his belief that it is a civil-rights issue, with consolidated media controlling the social agenda by deciding what is important to report on.

Jackson said the media regulation process was broken and corrupt, and it was time to democratize the way the FCC does business. It is not enough to let people speak at hearings, he added -- the commission must listen and act, but not rush toward more consolidation.

Jackson asked FCC Chairman Kevin Martin again whether he would create a minority media task force and get its recommendations before revising media ownership rules. Martin made no promised, and didn't seem prepared to create such a task force himself. Martin instead said he would welcome input from such a task force, but that he would not necessarily delay moving forward on ownership review until he got that input.

Jackson also advised the commission not to rush toward approving the XM-Sirius merger, saying it would create a monopoly, with competition "virtually impossible."

Jackson said that as currently structured, the merger would "have the real potential of eliminating diversity.” He called it a bad deal and not in the public interest.

Also weighing in on the diversity issue was Wade Henderson from the Leadership Conference on Civil Rights He said his group favored the free market of ideas, but he decried "homogenized, cookie-cutter media divorced from local concerns" and not serving the public interest. Echoing Jackson, Henderson said media diversity is a civil-rights issue, adding that nothing less than equal opportunity in the public domain is at stake.

Earlier in the hearing, FCC commissioner Robert McDowell said he had once interned at radio stations WTOP and WMAL in Washington, D.C. Putting a fine point on his civil-rights argument, Henderson, who is African American, said he would have liked to intern there, too, but he would not have been able to. The way the media reports stories is directly related to who is employed there, he added.<!--QuoteEnd-->

[Toddzilla]

One way to really bolster support for an issue is to have Jesse Jackson support the other side, so SiriusXM is set...

[terpkristin]

I find all of this right now fairly fascinating.

I currently have BOTH XM and Sirius. I've been an XM subscriber for about 2 years now (I got it for the 2006 World Cup but have stayed with it for MLB so I can hear my Red Sox games). I'm currently using Sirius in my car, with the free promotional trial they gave me.

In my situation, ideally I would be able to get XM channels on my factory-installed Sirius head unit. I have thus far been rather unimpressed with Sirius. For the music channels, they aren't significantly different from XM. For the comedy channels, maybe it's just a factor of when I've been tuning in, but I've preferred XM. And I don't care even 1 iota for NASCAR or NFL, I really want my MLB.

I think both services have their issues. I'm not sure if it has to do with the "odd" orbit that Sirius satellites are in, if there is just a lack of repeaters locally for Sirius, or if it's something with how the unit is installed in my car, but whenever I go under an overpass in my car, the signal cuts out for about 5 seconds. It drives me freaking bonkers, and I've NEVER had that problem with XM.

With XM, their aftermarket units are pretty bad. I've used the Inno (which I fried 2 and gave up, I blame poor electrical design), the Delphi SkyFi2, and an aftermarket Sony head unit. Of these 3, the only one that worked well was the Sony headunit. The SkyFi2 had poor selections for FM transmission and using their line-out to my head-unit line in resulted in massive ground-loop noise, for which I'd have to buy an extra ground-loop isolator. Quality electronics should come with that built-in. I don't need a ground-loop isolator for my iPod when I'm using the aux input, I expect no less from the XM unit. And, with the SkyFi2, they had the extra ferrites that needed to go on, that made it more bulky (and consistently fell off). I don't know if the new and improved version (the new color one) is any better, but man, what a turn off.

In my car, there is no really good place to mount an aftermarket unit for either service, so my preference would be to use a head unit, and since I already have a Sirius unit installed (of course, the unit itself may be causing the problems with the overpasses, I just don't know)...

I hope this gets done and things get finalized so I can make some serious decisions. If the price for MLB + the standard crap goes up, though, I'm probably dropping it. I only use it for music, comedy, college sports and MLB, I don't listen to a lot of the other "special interest" stuff (including but not limited to Oprah, talk radio, and any of the other sports).

/tk

[Cringer]

but he also handed TV stations more ammunition in their fight against the merger of XM Satellite Radio and Sirius Satellite Radio.

TV? Tv has been fighting this and I never noticed.


Jackson said the media regulation process was broken and corrupt, and it was time to democratize the way the FCC does business. It is not enough to let people speak at hearings, he added -- the commission must listen and act, but not rush toward more consolidation.

:rolleyes: Yes, because over 1 year and putting one or both companies on the brink of collapse is not long enough. We should stretch this out for another 1-2 years so both companies will fold and no one gets a job for either of them.


Jackson also advised the commission not to rush toward approving the XM-Sirius merger, saying it would create a monopoly, with competition "virtually impossible."

Again, how has this been rushed? Second, I think iPod, normal radio, backseat DVD players and games, and internet radio have been competing just fine and will continue to do so.



Jackson said that as currently structured, the merger would "have the real potential of eliminating diversity.” He called it a bad deal and not in the public interest. I want a list of how this happens.


Also weighing in on the diversity issue was Wade Henderson from the Leadership Conference on Civil Rights He said his group favored the free market of ideas, but he decried "homogenized, cookie-cutter media divorced from local concerns" and not serving the public interest. Echoing Jackson, Henderson said media diversity is a civil-rights issue, adding that nothing less than equal opportunity in the public domain is at stake.

My local radio blows, and listening to their commercials gives me no info with my local concerns. Guess what though, if I find I need local media I can push a button and get local radio, or flip on the TV and watch the local news, or read the local paper.



Jesse Jackson can kiss my ass.

[Cringer]

I find all of this right now fairly fascinating.

I currently have BOTH XM and Sirius. I've been an XM subscriber for about 2 years now (I got it for the 2006 World Cup but have stayed with it for MLB so I can hear my Red Sox games). I'm currently using Sirius in my car, with the free promotional trial they gave me.

In my situation, ideally I would be able to get XM channels on my factory-installed Sirius head unit. I have thus far been rather unimpressed with Sirius. For the music channels, they aren't significantly different from XM. For the comedy channels, maybe it's just a factor of when I've been tuning in, but I've preferred XM. And I don't care even 1 iota for NASCAR or NFL, I really want my MLB.

I think both services have their issues. I'm not sure if it has to do with the "odd" orbit that Sirius satellites are in, if there is just a lack of repeaters locally for Sirius, or if it's something with how the unit is installed in my car, but whenever I go under an overpass in my car, the signal cuts out for about 5 seconds. It drives me freaking bonkers, and I've NEVER had that problem with XM.

With XM, their aftermarket units are pretty bad. I've used the Inno (which I fried 2 and gave up, I blame poor electrical design), the Delphi SkyFi2, and an aftermarket Sony head unit. Of these 3, the only one that worked well was the Sony headunit. The SkyFi2 had poor selections for FM transmission and using their line-out to my head-unit line in resulted in massive ground-loop noise, for which I'd have to buy an extra ground-loop isolator. Quality electronics should come with that built-in. I don't need a ground-loop isolator for my iPod when I'm using the aux input, I expect no less from the XM unit. And, with the SkyFi2, they had the extra ferrites that needed to go on, that made it more bulky (and consistently fell off). I don't know if the new and improved version (the new color one) is any better, but man, what a turn off.

In my car, there is no really good place to mount an aftermarket unit for either service, so my preference would be to use a head unit, and since I already have a Sirius unit installed (of course, the unit itself may be causing the problems with the overpasses, I just don't know)...

I hope this gets done and things get finalized so I can make some serious decisions. If the price for MLB + the standard crap goes up, though, I'm probably dropping it. I only use it for music, comedy, college sports and MLB, I don't listen to a lot of the other "special interest" stuff (including but not limited to Oprah, talk radio, and any of the other sports).

/tk


A couple comments on what you said here.

1. Look into getting "the brain" changed out for whatever radio it was you would want to switch. I know you can buy a new car with XM built in, but have the main part of it swapped out with a Sirius one to make it a SIrius radio. I would guess there is one for changing from Sirius to XM.

2. I have never had any big problems with my Sirius units, though I still have not gotten a portable. My first radio from 3 years ago still works, though I did kill the wires for it with all the moving around I did with it from truck to car to house over the first 2 years. My second radio is 2 years old and still works great. The wife got a reconditioned one with no problems (but obviously it had one before ;) ).

3. As far as MLB, NFL, NASCAR, NBA, NHL, and college sports, from what I heard over 6 months ago when Mel Karmizan was on Howard Stern, is that those may take a while to be able to offer on "the other service." The reason behind this (in very simple terms) is because the NFL for example, has a contract to be on Sirius, not XM. So it would take some time to work out with each entity to be able to the NFL on both Sirius and XM. I don't expect any MLB games on Sirius this season. I hope I am wrong but that is what I heard.

4. Sirius repeaters do seem to suck, IMO. I wouldn't blame the radio unit in your car. Unless it is the inability of the radio to switch from satellite to repeater, but I don't know. I just know that in many cities the Sirius repeaters fall short to me and you get dead air from underpasses or in certain downtown areas.

Overall I think the 'vision' for a combined company is bright and I hope it comes true. Sirius is preparing to put another satellite into space which is supposed to be better then anything Sirius or XM has. The two companies being able to cut costs by combining forces, then combining research and development I hope means for better products in the not too distant future.

[JonInMiddleGA]

We should stretch this out for another 1-2 years so both companies will fold and no one gets a job for either of them.

Works for me, I'll get on that tomorrow ;)

I think iPod, normal radio, backseat DVD players and games, and internet radio have been competing just fine and will continue to do so.

That's very much the topic of debate. Interestingly (to me at least) it seems the biggest proponents of satellite sort of create some of the concern with the whole "it's going to kill over-the-air radio" talk. The reality to this point is that the two services combined are very small in usage vs traditional radio. Each sides end goal really sort of works against this argument. But I'll say that it seems difficult to me to try to have it both ways, either satellite radio is a different animal than broadcast radio and therefore a monopoly would exist if the merger were approved. If it's the same animal then there's no monopoly but there's significant differences in the governance of the two that would cry out to be reconciled.


I want a list of how this happens.

It's definitely not an argument I'll make personally but I'll give you a point or two that often goes with it. By cutting the number of services in half, you also reduce the possible number of management & ownership possibilities.


... if I find I need local media I can push a button and get local radio, or flip on the TV and watch the local news, or read the local paper.
Once again, not my argument but I've heard it ad nauseum for so long I know how it goes. The concern is that what you just said about finding it if you want it is an endangered species.


Jesse Jackson can kiss my ass.
Now THAT argument is one I'll claim as my own much more readily ;)

[stevew]

Is the eventual Sirius model to sell individual channels to people, or is it simply to continue to own them all in house.

[Cringer]

It's definitely not an argument I'll make personally but I'll give you a point or two that often goes with it. By cutting the number of services in half, you also reduce the possible number of management & ownership possibilities.


Once again, not my argument but I've heard it ad nauseum for so long I know how it goes. The concern is that what you just said about finding it if you want it is an endangered species.


For the first part, good point and totally excepted as a valid arguement. Both companies going out of business doesn't make it better IMO. BUT If preventing companies to merge, especially in the media world, was the staus quo, then I would be more apt to stand back and say "No problem, that's the way it is for almost everyone."

Is the eventual Sirius model to sell individual channels to people, or is it simply to continue to own them all in house.

As in selling channels to companies to run? Or for regular radio to broadcast?

Sirius wants to keep their stuff in house as much as possible as far as I know. Bubba The Love Sponge just had to fight bigtime with Sirius to allow him to go on Tampa and Jacksonville morning radio while still doing his Sirius show in the afternoon. The only real reason they probably didn't let him walk away is because of Howard Stern wanting him on his channels.

[Toddzilla]

With XM, their aftermarket units are pretty bad. I've used the Inno (which I fried 2 and gave up, I blame poor electrical design),
/tk1 <3 my Inno - me and Mrs. Zilla got one for Xmas 3 years ago and they have been nothing but phenomenal - everything we wanted and more. Sorry yours sucked. :(

[Bearcat729]

FCC Reaches Tentative Deal To Approve XM-Sirius Merger - WSJ.com (http://online.wsj.com/article/SB121683130281477651.html?mod=hpp_us_whats_news)


FCC Reaches Tentative Deal
To Approve XM-Sirius Merger
By AMY SCHATZ
July 23, 2008 7:09 p.m.

WASHINGTON – A tentative deal has been reached by a majority of commissioners at the Federal Communications Commission to approve the merger of Sirius Satellite Radio Inc. and XM Satellite Radio Holdings Inc., a FCC source close to the review said Wednesday.

Republican commissioner Deborah Taylor Tate is the only FCC member left to vote on the deal and she is expected to do so shortly, two FCC officials close to the negotiations said. She is expected to sign off on the deal in exchange for a consent decree that resolves several enforcement issues involving the satellite radio companies and a combined fine of about $20 million, an FCC source close to the deal said.

Ms. Tate has also asked for a variety of other minor conditions, an FCC source said. An adviser to Ms. Tate did not respond to a call for comment. Exact details about the deal are not known since FCC officials and lawyers for the companies appear to still be working them out.

Ms. Tate's vote would finally end the agency's 13-month review of the deal. Her vote is critical for the deal's approval since the rest of the five-member board remained evenly split on the deal.

As of Wednesday morning, both of the FCC's two Democratic commissioners had voted against the deal. Democrat Jonathan Adelstein announced his decision in a statement, noting he was hoping for a "bipartisan solution" but that the other commissioners weren't interested.

Last week, Mr. Adelstein proposed conditions including a six-year price cap, a 25% channel set-aside for non-commercial and minority-owned stations and interoperable radios that would receive digital signals from terrestrial radio stations.

FCC chairman Kevin Martin had made it clear to the rest of the commissioners Tuesday evening that Mr. Adelstein's conditions would not be a focus of the negotiations, an agency source said.

In recent days, Ms. Tate has been the center of negotiations, as the companies have wrangled over how to resolve several outstanding enforcement issues that have been raised. They include issues involving complaints that some of the satellite radio receivers exceeded FCC power limits and bled into the signals of some local radio stations.

Concerns have also been raised that Sirius has yet to bring to market an interoperable radio despite an FCC requirement that it develop one. Broadcasters have also complained that satellite booster towers were placed in nonapproved locations.

[molson]

But how will Howard Stern fill the 20% of airtime currently devoted to complaining about this??

My guess - more vacation, since this deal nets him another beach house as least.

[saldana]

Sirius, XM tie-up gets FCC approval

By a vote of 3-2, regulators gave formal approval to the merger of the nation's only two satellite radio operators, following a16-month-long drama.


<!--endclickprintexclude--><!-- /REAP -->WASHINGTON, D.C. (AP) -- Federal regulators formally approved the merger of the nation's only two satellite radio operators Friday, ending a 16-month-long drama closely watched by Washington and Wall Street.
Sirius Satellite Radio Inc.'s $3.3 billion buyout of rival XM Satellite Radio Holdings Inc. will mean 18 million-plus subscribers will be able to receive programming from both services. Executives say it will mean huge cost savings that will lead to a first-ever profit for the relatively nascent industry.
The Federal Communications Commission voted 3-2 to approve the buyout, with the tiebreaker coming Friday night from Republican commissioner Deborah Taylor Tate.
Tate had insisted that the companies settle charges that they violated FCC rules before she would approve the deal. The companies agreed this week to pay $19.7 million to the U.S. Treasury for violations related to radio receivers and ground-based signal repeaters.
FCC Chairman Kevin Martin confirmed the final vote Friday night. "I think it's going to be, in the end, a good thing for consumers and be in the public interest," he told The Associated Press.
The approval appeared to hit a glitch on Friday when a dispute surfaced between the chairman and Tate over the violations, but differences between the two were quickly resolved, and the approval went forward.
The long-running regulatory review was watched closely by exasperated investors anxious for a resolution as well as satellite radio customers with questions about what impact the merger would have on their service.
The approval was a major blow for the land-based radio industry, which lobbied hard against the buyout. It was also opposed by consumer groups, various members of Congress and state attorneys general, all of whom argued a satellite radio merger would hurt consumers and was not in the public interest.
"They kept each other on their toes," Democratic commissioner Jonathan Adelstein said of the two companies. "I hope they keep their edge and don't become a fat and happy monopoly." Adelstein voted against the buyout as did fellow Democrat Michael Copps.
Joining Martin and Tate in approving the deal was Republican commissioner Robert McDowell. The companies said the combination would create hundreds of millions of dollars in cost savings and lead to greater choice in programming for subscribers and flexible pricing options. T
ate released a statement Friday night praising the commission's decision to punish the companies for rules violations before acting on the merger and supporting pro-consumer conditions imposed on the deal.
Under the terms of the consent decree, XM will pay $17.5 million and Sirius will pay $2.2 million to resolve interference complaints and violations related to land-based signal repeaters the companies operate to deliver programming.
The final merger agreement did not require the combined company to include a chip in its radios that will allow customers to receive digital signals from land-based radio stations, which would have helped the land-based radio industry. Tate, who was lobbied intensely by the industry in the final weeks, said she "could not in good conscience support a government-mandated requirement on the backs of American consumers at this time."
Martin said the agreement is nearly identical to what he circulated among other commissioners when he first recommended approval for the deal a month ago.
The companies first applied for permission to combine in March 2007. The Justice Department approved the deal in March of this year without conditions, saying the companies don't really compete because customers must buy equipment that is exclusive to either XM or Sirius, and subscribers rarely switch providers.
DoJ also agreed with the companies' argument that they compete with other forms of audio entertainment, including digital radio, Internet-based radio stations and even devices like Apple Inc.'s iPod. FCC approval faced a steeper climb because the companies were prohibited from combining under terms of their licenses.
The agency struggled to come up with a way to show that allowing a satellite radio monopoly was in the public interest. The companies voluntarily agreed to a set of conditions, including a three-year price cap and an 8 percent set-aside of "full-time audio channels" for public interest and minority programming.

They will also adopt an "open radio" standard that may lead to a greater variety of features in radios and greater competition among manufacturers. Sirius and XM also have promised to include a limited "a la carte" offering that would be available within three months of the close of the deal and allow listeners to pay only for the channels they want to receive. http://i.cdn.turner.com/money/images/bug.gif (http://money.cnn.com/2008/07/25/technology/sirius_xm_approval.ap/index.htm#TOP) First Published: July 25, 2008: 8:46 PM EDT

'bout freaking time.

the thing that i cannot seem to find a black and white, definative answer to is whether or not i will be able to get XM channels on my factory installed Sirius car radio

[kcchief19]

I'm not sure they have issued a revised channel lineup. Everything I've seen thus far suggests that there will be one channel lineup for both services with an ala carte optoin available.

There were rumors early on that there wouldn't be much mixing -- that is, if you subscribed to Sirius you'd have to pay extra to get the MLB package on XM and if you were on XM you'd have to pay to get the NFL. The final deal makes it sound like everyone on Sirius/XM will get the same lineup, although there will be cheaper packages with fewer channels and the ala carte option where you'd have to buy a new radio.

It sounds like current subscribers may come out of the deal well if we're able to get the "best of both worlds." I came down on the side of Sirius when getting my radio because I wanted NPR and NFL. I'd really like to get the MLB package though.

[samifan24]

I've been thinking about satellite radio but waiting for a resolution here. How much longer until we see more specifics about this?

[Captain2711]

Found this "proposed" lineup and a la carte menu. Probably not official.http://mrdotnet.wordpress.com/2008/05/03/xmsirius-merger-line-up-revealed/

[molson]

Found this "proposed" lineup and a la carte menu. Probably not official.http://mrdotnet.wordpress.com/2008/05/03/xmsirius-merger-line-up-revealed/

It's not quite clear from that how it would work if you had Sirius, and only cared about MLB from XM. It looks like you'd still have to buy a XM subscription anyway. The only advantage of the merger in terms of content is if you switch to the $25/month A La Carte II, and then you could pick some of the "Best of XM" And that would still cost as much as two subscriptions, though I guess you could use the same radio.

Or maybe it would be possible to pick up the XM sports package for $6/month if you had Sirius, though that's not clear to me either.

I understand why this is necessary from a business perspective, but it doesn't look like a great deal for the customer.

I'll just stick with the regular Sirius - $6/month for the XM sports seems steep when I can get it through MLB.com for $15 for the whole year. (And I'm at home far more than I'm in my car, and I think on MLB.com you can listen to the audio on-demand).

Interesting that they're giving people an incentive to opt-on out of Stern - you can save money and get just music, etc. Perhaps see if he's expendable in 2 1/2 years when his contract's up. Of course, he'd be left with no negotiation leverage now, but will probably make tens of millions on this deal in stock.

[kcchief19]

Looks official enough if only possibly dated. But if that is indeed the package list ... where's the merger is right. I'll probably stick with Sirius Everything unless the Select XM list is impressive -- but I doubt it.

I guess I shouldn't be surprised but ... what a crock. The only real "deal" for consumers is the ala carte offer at a lower price. The Everything/Select packages are very misleading because for $25.90 before you were getting everything from both services. But with the Everything/Select packages you're not getting everything, so it's not the deal it looks like.

Disappointing if that's the case ... I wouldn't mind paying a bit more for MLB and other channels but it sounds like that won't be even an option for Sirius users.

[molson]

Funny that this delayed merger was was criticized so much when customers are getting screwed on the deal, and both companies had outstanding fines to the FCC this whole time that they just paid last week.

[BYU 14]

I am trying to find out how this will effect people like me who paid for a lifetime membership to Sirius. I would not mind having to purchase a new receiver, but would not at all be happy with forking over additional monies for content. It's funny how they don't seem to have addressed this type of subscription at all. :rolleyes:

[kcchief19]

It's not quite clear from that how it would work if you had Sirius, and only cared about MLB from XM. It looks like you'd still have to buy a XM subscription anyway. The only advantage of the merger in terms of content is if you switch to the $25/month A La Carte II, and then you could pick some of the "Best of XM" And that would still cost as much as two subscriptions, though I guess you could use the same radio.

Or maybe it would be possible to pick up the XM sports package for $6/month if you had Sirius, though that's not clear to me either.

I understand why this is necessary from a business perspective, but it doesn't look like a great deal for the customer.

I'll just stick with the regular Sirius - $6/month for the XM sports seems steep when I can get it through MLB.com for $15 for the whole year. (And I'm at home far more than I'm in my car).

Interesting that they're giving people an incentive to opt-on out of Stern - you can save money and get just music, etc. Perhaps see if he's expendable in 2 1/2 years when his contract's up. Of course, he'd be left with no negotiation leverage now, but will probably make tens of millions on this deal in stock.
I don't think that will be an option -- I think the Sirius packges will only be good on Sirius radios and the same with XM. I doubt you'll be able to add the XM sports package to a Sirius radio.

The ala carte options are so-so. The $6.99 isn't bad if you only listen to music and maybe some news, but if you have it for sports it would suck. Ala Carte II completely blows -- you're paying a couple of bucks more a month for 30 fewer channels, even if you do get to pick some select channels from the other service. The Everything/Select subscriptions suck too -- that's $4 a month for 11 channels from the other service? No thanks.

I can imagine a few deciding to drop down to the cheap ala carte package minus Howard but I think these packages will mean 90% don't change their channel lineups.

[Captain2711]

Not really a fan of the note on the bottom of the page, concerning "Available only for subscribers using the next generation receivers"
I guess bottom line is that they are still gonna offer full XM or Sirius packages for the same 12.95 amount

[Captain2711]

Without a next generation receiver, I guess I have no choice, but to get XM plus Select Sirius. Can anyone figure what is included in the Select XM or Select Sirius 16.99 package?

[molson]

I also wish Sirius/XM could reach some kind of agreement to get access to the MLB/NFL audio on the internet.

[Captain2711]

Without a next generation receiver, I guess I have no choice, but to get XM plus Select Sirius. Can anyone figure what is included in the Select XM or Select Sirius 16.99 package?

I see it now. scrolled right passed it.

[terpkristin]

Without a next generation receiver, I guess I have no choice, but to get XM plus Select Sirius. Can anyone figure what is included in the Select XM or Select Sirius 16.99 package?

That is absolutely absurd. There is no way that this isn't just a way to force people to upgrade their units. I may cancel my Sirius subscription because of how ludicrous that is.

Edit to add: I already dislike Sirius because of the spotty coverage I get due to the silly orbit their satellites are in. XM's on my shite list for re-upping my coverage "automatically" after I cancelled my account and THEN charging me for the "3 days of usage" I had between when they automatically re-upped it and when it cleared through my bank (which is how I found out, and called them immediately).

/tk

[molson]

That is absolutely absurd. There is no way that this isn't just a way to force people to upgrade their units. I may cancel my Sirius subscription because of how ludicrous that is.

Edit to add: I already dislike Sirius because of the spotty coverage I get due to the silly orbit their satellites are in. XM's on my shite list for re-upping my coverage "automatically" after I cancelled my account and THEN charging me for the "3 days of usage" I had between when they automatically re-upped it and when it cleared through my bank (which is how I found out, and called them immediately).

/tk

Just an FYI, I've heard that lots of people have called Sirius to cancel, only to be offered ridiculous deals to stay (like their same plan for $6/month cheaper).

[terpkristin]

Just an FYI, I've heard that lots of people have called Sirius to cancel, only to be offered ridiculous deals to stay (like their same plan for $6/month cheaper).

I just got an email from XM offering me the same service I had for $5/month, I imagine Sirius would do the same sort of thing. Of course, for me, at that point, it'd be priciniple. I haven't decided, I'll see how things play out. But even if I don't cancel, I'll be thinking long and hard about re-upping next year. I really hate their orbit and repeater silliness.

/tk

[Captain2711]

I just got off the phone with XM and they swear that all radio's will be fully operational even with a la carte stuff. Bottom line I guess is that you do not have to change a thing with your current service. All previous deals are still good and the 12.95 for your current XM subscription will continue to be valid. They did not offer me any new deal to stay.

[Captain2711]

And he also pointed me to these items.

http://www.xmmerger.com/site/page/a_la_carte

[molson]

I just got off the phone with XM and they swear that all radio's will be fully operational even with a la carte stuff. Bottom line I guess is that you do not have to change a thing with your current service. All previous deals are still good and the 12.95 for your current XM subscription will continue to be valid. They did not offer me any new deal to stay.

Ya, it might now be too late to cash in on the "desperation factor" of the XM/Sirius, now that it appears they will survive.

[Captain2711]

I just got off the phone with XM and they swear that all radio's will be fully operational even with a la carte stuff. Bottom line I guess is that you do not have to change a thing with your current service. All previous deals are still good and the 12.95 for your current XM subscription will continue to be valid. They did not offer me any new deal to stay.

I Guess he lied. After reading a little, I saw this..

A La Carte Programming
The combined company will offer two a la carte packages. Consumers will select their
channels on-line allowing them to easily review the full-range of each company’s
programming choices. A la carte programming will only be available for subscribers
using new radios, which will be developed following approval of the merger.

So pissed

[kcchief19]

As much as I was a supporter of the merger because I didn't want to see one or both of these companies fold, This "merger" really appears to be nothing but a consolidation of staffs. The next-gen radios will be capable of ala carte programming but they are still essentially running two completely separate lineups, which to me negatives the advantages of the merger.

As a consumer, I'd be much more enthusiastic about getting both NFL and MLB rather than having to choose which one I want. I also don't see the benefit to me as a consumer of both networks running 60-odd music channels that are largely duplicates. XM will have an '80s channel and so will Sirius. Why operate two when you can run one and give everyone the same channels plus the premium channels?

To a certain degree I'm glad to see the ala carte packages because I hope it will make people realize how shitty ala carte packages are. The structure of cable TV is the only way we can get the niche channels are at an affordable price.

[Jon]

I noticed on the XM website that you can now subscribe to the "Best of Sirius". Included is NFL Radio. Does anybody know if this includes the play by play on Sunday?

[Cringer]

I would contact them about that. I would be surprised if it did at this point though because I know they mentioned a while back that the play by play of games from one service to the other may take a little longer to put onto the other because they would have to work with the NFL/MLB and others to be aloud to do that and may need to rework those deals.

[Cringer]

Ok, so I could be wrong. Call XM though.

I just checked the Sirius site because we can get the Best of XM added on now as well. They list NBA and NHL play by play as specific channels you get. No MLB though, which hopefully they have next year because that is what I want from XM, I couldn't care less about O&A or Oprah.

edit: Sirius can also get the XM College sports it seems. MLB seems like the only sport missing from the lineup right now.

[Toddzilla]

FWIW, Listening to O&A on XM this morning, they played a new bumper that says "The Virus XM 202...(pause)...Siruis 98" so it seems XM has some programming available on Sirius systems now as well.

[SirFozzie]

Looks like it is: From the XM Radio page on the best of Sirius:

(The channels listed are: XM105+SPorts Play By Play Channels)

Every NFL game. Every week. Get live NFL play-by-play wherever you are. Plus 24/7 commentary, analysis, and exclusive NFL talk on channel 105, SIRIUS NFL Radio. You'll also hear college sports play-by-play from top conferences.

XM Satellite Radio - America's #1 Satellite Radio Service (http://xmradio.com/bestofsirius/index.xmc)

[henry296]

Two questions:

1. How much is it to add the Sirius Channels on XM?
2. Can you get the multi-radio discount if I have 1 XM radio and 1 Sirius radio?

[SirFozzie]

1.$4/month I believe.

2. Doubt it.

[molson]

I really wish they would stream the sports on the internet.

I'm not in the car Sunday afternoons, and it'd be cheaper to pay NFL.com than get a 2nd radio/subscription. Which is just wrong.

[SirFozzie]

I really wish they would stream the sports on the internet.

I'm not in the car Sunday afternoons, and it'd be cheaper to pay NFL.com than get a 2nd radio/subscription. Which is just wrong.

There's no way the NFL/MLB/etcetera would allow that. Cuts into their market.

[molson]

There's no way the NFL/MLB/etcetera would allow that. Cuts into their market.

Really? I'm a paying subscriber. I'd be willing to pay more for the convenience. It just seems ridiculous to pay for both when Sirius and the NFL have a deal.

I mean who listens to the NFL game channels on Sirius? I imagine most people just have the car subscription.

[SirFozzie]

Molson: Here's the thing. NFL/MLB charge $10 a month for their service. They get to keep 100% of that. Sirius/XM charge like $17 a month TOTAL... NFL/MLB sees.. what.. 20% of that, tops? $10/mo vs $3.50/Mo.. geee.. which way would I go to maximize revenue?

[Butter]

Link to a new XM Channel lineup that is kicking off tonight at midnight.

http://www.xmfan.com/files/NEW_CHANNEL_LINEUP_XM_LINEUP.pdf

Sirius stock is somewhere around a quarter right now, so listen while you still can.

[Cringer]

I don't think Sirius/XM is going anywhere, but on the topic of that lineup...what is different? I am a Sirius guy so I have no idea what is different, they make big changes or are you just wanting to say you think they will die?


Looking at the channels though, I notice no punk channel and I see XM also has an AC/DC channel until Jan. Did XM punk fans get screwed over like Sirius ones, and they replaced that channel with AC/DC for 3 months?

[GoldenEagle]

It looks like XM added the Elvis Presley station, BBC radio, Shade 45, The Spectrum, Octane (the best station on Sirius IMO), and some more of the specialty channels. I think they got rid of a bunch of their music stations as well.

[Butter]

I don't think Sirius/XM is going anywhere, but on the topic of that lineup...what is different? I am a Sirius guy so I have no idea what is different, they make big changes or are you just wanting to say you think they will die?

No, I hope they live on for quite a while. I am just not optimistic. I am an XM subscriber and a big fan of XMU among other channels. A number of the XM channels are being outright replaced with their Sirius counterparts (like all of the main alternative stations except XMU).


Looking at the channels though, I notice no punk channel and I see XM also has an AC/DC channel until Jan. Did XM punk fans get screwed over like Sirius ones, and they replaced that channel with AC/DC for 3 months?

Yes, the XM Punk channel (Fungus) was replaced with the AC/DC channel, and I think Fungus is now gone for good. I think they are hoping Faction will placate the punk fans.

[Jas_lov]

I thought the AC/DC channel replaced the Led Zepplein channel. Is the Zeppelin channel back? It doesn't seem there is much different in that lineup from what I have now. I don't see the classic rock stations like Big Tracks so maybe they changed those.

[Butter]

I thought the AC/DC channel replaced the Led Zepplein channel. Is the Zeppelin channel back? It doesn't seem there is much different in that lineup from what I have now. I don't see the classic rock stations like Big Tracks so maybe they changed those.

Yes, Led Zeppelin is back on XM Channel 39 through the end of the year.

[stevew]

I guess they re-christened Lucy to Lithium....the only change I really notice. Still looks to be the same format.

I think they brought over the Blue Collar channel too....didn't notice that before.

[Toddzilla]

No Lucy?
No Ethel?
No Squizz?
No Fred?
No Rhyme?

Seriously, this sucks ass on a monumental scale.

[stevew]

No Lucy?
No Ethel?
No Squizz?
No Fred?
No Rhyme?

Seriously, this sucks ass on a monumental scale.

Just renamed AFAIK

[rjolley]

Yeah, I'm hoping the station listing that's on XM's site for the different tiers is more accurate than the one listed in this post. If not, I hope they merge the programming. The Rhyme and Suite 62 are 2 stations my wife and I listen to a lot and they're gone, replaced by what appears to be the Sirius equivalent. Also, The Move is gone with no house music replacement on deck. That sucks.

[Cringer]

Ah, I didn't even check out the music channel names or I would have noticed all the Sirius names. I figured they would start getting rid of music channels between the two and just use one, it cuts costs after all. I was kind of hoping they would replace some Sirius ones with XM ones I have always heard are better then their Sirius counterpart. I haven't checked though....

On the punk channel on XM, you may get the Sirius one when it comes back. Last I read they planned on bringing the punk channel back when the AC/DC thing was done. They better. Faction does nothing to fill my need, and I almost refuse to listen to it now. With the punk gone for now I listen to the Alt Rock and the 90's Alt Rock channels more then anything else. I am also listen to my own music on my laptop some to get my punk now as well.

[stevew]

I gather that Sirius Patriot didn't make the shift over to XM? Was hoping to check out the Cam show every once in awhile.

[terpkristin]

New Sirius lineup: http://www.sirius.com/pdf/channelguide.pdf

Gad to see BPM coming to Sirius. Wish they'd pulled over the XM comdedy stuff, the Raw Dog stuff sucks.

/tk

[Butter]

I don't think they have a Rhyme equivalent on the new lineup. Which sucks, because that's about the only rap I actually liked. So that knocks out a whole genre for me.

[rjolley]

I don't think they have a Rhyme equivalent on the new lineup. Which sucks, because that's about the only rap I actually liked. So that knocks out a whole genre for me.
According to their lineup card that has all of the changes listed, they say the new Hip Hop Nation (formerly The City) on channel 67 is the place if you liked The Rhyme.

If they play what The City played with just a few shows with music that The Rhyme played, I won't be tuning in much. But, with DJs Envy, Green Lantern, and Premier on staff, I have some hope that it'll be a good station.

[Butter]

Thanks, man, I'll check it out.

[Toddzilla]

From xmradio.com...


If you liked
The RHYME - XM 65

check Out
Hip-Hop Nation Hip-Hop Nation - XM 67

to hear
Some Old Skool Rap and Subsoniq.

Some?

FAIL

[rjolley]

Yeah, so far, it's a fail for me. Listened to it on the ride into work. Not even close to the same feel. I'll give it a few days, but it sounds too much like Raw/Shade 45 and current day rap shows.

[Dr. Sak]

I'm not a fan of Lithium...BRING BACK LUCY!!

[Maple Leafs]

My presets were all updated this morning to the new channels... I guess that's kind of neat. Also lets you know which channels they think are replacements for what you already had.

[Toddzilla]

Yeah, so far, it's a fail for me. Listened to it on the ride into work. Not even close to the same feel. I'll give it a few days, but it sounds too much like Raw/Shade 45 and current day rap shows.Listened to Hip-Hop FAIL 67 on the way in, also. One hour, not a single song older than 3 years.

EPIC FAIL

[CamEdwards]

I gather that Sirius Patriot didn't make the shift over to XM? Was hoping to check out the Cam show every once in awhile.

Doesn't look like they did much with the talk programming in general, but I may end up doing some fill-in work on XM in the future. I'll let you know if/when that happens. :)

[Cringer]

Ok, I will join the ranks of unhappy and pissed people. I don't understand why they are getting rid channels that focused on one type of music, from BOTH XM and Sirius.

So with the updates to Sirius today it seems the comment someone made yesterday in regards to the punk channel is true, it is fucking gone. I am pissed as hell. "If you liked Punk 29 try Faction 28." Fuck you, you dumb whores. They are not even close to being the same. Woohoo, one hour a week of straight punk when Marky Ramone has his show, the rest of the time common punk songs mixed with crap music. Blow me.

Backspin is gone? It was old-school rap, sounds like XM had a channel llike this and theirs is gone as well. Sucks.

Crap, I will have to email the bastards now. Not that it will do much good.

[Maple Leafs]

So does the new Comedy Channel on 150 actually play any comedy, or is it just the DJ talking about himself 24/7?

[rjolley]

Wait, Sirius had an old school hip hop station, XM had one, and they got rid of both to have 2 current school rap stations? Ok, that makes no sense. If you want to hear current rap, there's plenty of radio stations that play it.

Looks like I'll be sending an email to them about this. Doubt it'll do good, but at least I did what I could.

[Cringer]

Wait, Sirius had an old school hip hop station, XM had one, and they got rid of both to have 2 current school rap stations? Ok, that makes no sense. If you want to hear current rap, there's plenty of radio stations that play it.

Looks like I'll be sending an email to them about this. Doubt it'll do good, but at least I did what I could.

I am a punk first guy, but I do like and listen to other music. Backspin, the old school rap channel, was one I liked a lot. Both XM and Sirius had punk channels as well and both are gone. I really don't like the way they cut things out like that.

[Logan]

I'm not a fan of Lithium...BRING BACK LUCY!!

I haven't listened in a couple days (no car anymore = randomly listening while I'm playing 360), but Lucy was by far my favorite station and I'd say I listened to it 95% of the time. At most, I would hear 1 song out of 10 that I didn't love. It was so good that I would rather listen to the one tolerable song than switch stations because I knew in 3 minutes I would get a half hour of great music.

If they really fucked with the content, I'll be canceling.

[stevew]

Yeah, Lucy/Lithium is my favorite channel

[Logan]

Can you confirm that the content on the new channel is extremely different? I don't trust Sak's musical taste.

[stevew]

Can you confirm that the content on the new channel is extremely different? I don't trust Sak's musical taste.

Seemed like the same stuff to me. Little bit of Temple of the Dog, then some STP, a little Tonic, some Cranberries all on the way home.

1979, Paranoid Android, No Rain among others on the way to pick up my wife at work...

[Dr. Sak]

Can you confirm that the content on the new channel is extremely different? I don't trust Sak's musical taste.

Why don't you sing us some more Bon Jovi?

[Anthony]

Ethel is/was my favorite, but they renamed it "Alt-Rock".

i don't care what they call it, they just better not fuck with that station or i'll piss on someone's cat. i swear it.

[Logan]

Why don't you sing us some more Bon Jovi?

That was completely solicited, and you know that.

And WHERE THE FUCK is my Ashley Madison certificate?

[JonInMiddleGA]

from today's Tom Taylor newsletter at Radio-Info.com - Home (www.radio-info.com)

Mel says – no Christmas party at Sirius XM, but you can take off December 26.

The CEO’s email to staffers says that given the “very difficult environment” for all companies, “satellite radio sales not growing as we would like”, the current layoffs (“eliminating many duplicate positions”) and the stock price – “I have decided that hosting the annual holiday parties this year would send a contradictory message.” He knows it’s disappointing – “if ever there was a time that I would like to celebrate and thank everyone for a great job, it would be this year.” But there is a Christmas, after all (just not a party) – “In addition to having Christmas Eve and Christmas Day as holidays, we will also have the day after Christmas this year, so that you can spend more time with your friends and family.” His final sentence – “I am very confident that not only will our company be successful, but also [that] we will be very successful.”

The micro-niche formats are mostly gone from Sirius XM’s new lineup.

That’s the complaint of the Washington Post’s Marc Fisher, who’s spot-on in observing that the new mass appeal-focused direction is a 180 degree flip from former XM strategist Lee Abrams’ vision of a satellite service that would grow by offering some highly-specialized formats - stuff that no viable commercial station ever could. Fisher misses faves like XM’s fusion/acid jazz “Beyond Jazz”, the “free-form eclectic” Fine Tuning, the choral/vocal “Vox”, and 70s/80s dance-track “Chrome.” I’d say that part of that is probably because Sirius needed the sheer channel capacity, to offer its “best of Sirius” menu to XM subscribers for that extra $4 a month. Another thing that’s been thinned out – just as the Radio-Info boards suggested a couple of week ago – is the roster of Spanish language formats. That’s shrunk from four to just one. Lots of Abrams’ fair-haired-child formats (Lucy, Fred, Ethel) are gone, but Sirius XM’s Scott Greenstein tells Fisher that XM listeners can now hear the all-Springsteen and all-Grateful Dead channels produced by Sirius. Greenstein says “I like to gear everything to mainstream America” – which isn’t all of Lee Abrams’ America. Fisher says “If a service with more than 150 channels offers 20 channels of rock, yet can’t find room for so many of the culture’s other forms of music, it may have lost its claim to the many niches that make up American eclecticism.” My guess – that’s perfectly okay with Sirius XM.

Also out at Sirius XM – “Sex and the City” creator Candace Bushnell and Maxim.

Candace BushnellConde Nast’s Portfolio biz-mag says Sirius XM offered to keep Bushnell’s weekly “Sex, Success and Sensibility” – but only if she’d take a 50% pay cut. She had been featured on the “Sirius Stars” roster, but Portfolio writer Jeff Bercovici says she’s already been scrubbed from the website. While the entire Maxim channel, aimed at younger guys, is gone from the slimmed-down lineup – though Portfolio says its Covino & Rich talkshow finds a new home on Sirius 108.

The bolded part is a heck of an interesting quote, considering that variety was probably the biggest selling point satellite radio had from its inception. Then again, Greenstein may have a valid point since the most listened to channels on either service were primarily some of the most vanilla programming imaginable.

[Butter]

The bolded part is a heck of an interesting quote, considering that variety was probably the biggest selling point satellite radio had from its inception. Then again, Greenstein may have a valid point since the most listened to channels on either service were primarily some of the most vanilla programming imaginable.

Yes, it's an interesting point. In scanning the ratings a while back, I couldn't help but notice that the biggest ratings grabbers were channels that were likely more than readily available over the air, including some Clear Channel formats that probably ARE over the air in some XM listeners' markets.

[Bonegavel]

My new car came with a 3 month sub of XM (which just ended) and only channel I listened to was 150 - uncensored comedy. The bluegrass junction was a nice change of pace (14?) but other than that I'm not paying $13/month for just that.

[JonInMiddleGA]

from this morning's Tom Taylor newsletter available at Radio-Info.com (www.radio-info.com)

Sirius XM listened to unhappy subscribers, and will return the Strobe and Backspin channels to the lineup.

The satcaster will also bring back the Beat Morning Show with Geronimo. President of Programming and Chief Content Officer Scott Greenstein says “we are fortunate to have an enthusiastic audience” – and they’re paying attention to it. The decision revives the disco-flavored “Strobe” channel and the old-school hip-hop on “Backspin” – and suggests that the grassroots campaign to bring country personality Dan Dixon back may have a greater chance of success. I’m told that Mel Karmazin has personally called the Midwestern woman who began an online petition about re-hiring Dan. In fact, with something like 4,000 names on that petition threatening their cancellations, Mel has called her three times now. This morning, of course, CEO Mel Karmazin encounters a different kind of disgruntled crowd – at the annual Sirius XM shareholders meeting at New York City’s Equitable Center.

[stevew]

They keep offering 100 off a lifetime membership. With all their debt, it seems like a bad move for a consumer.

[Butter]

They're returning the Sirius versions of those stations to the air. Sadly, the XM versions were far superior.

*sigh*

[Dr. Sak]

How much is a lifetime membership?

[rjolley]

Backspin wasn't as good as The Rhyme?

[Toddzilla]

NOTHING was as good as The Rhyme




except maybe Haircut Day and Manwich Day...but that's debatable.

[Maple Leafs]

I have an XM subscription via my car. Is there any way to get a small player for home? Just something basic, I know I can listen online but I'd like to have something portable.

[rjolley]

XM usually offers deals on portable units to current subscribers on their website.

[evil homer]

I have an XM subscription via my car. Is there any way to get a small player for home? Just something basic, I know I can listen online but I'd like to have something portable.

i have the same deal with a new car i bought recently, and got an ExpressEZ radio for x-mas to listen around the house. i was surprised though that you have to pay an additional 6.99/month fee to have the portable unit, but that's what it is. the unit was free with the purchase of a "boombox" to play it in (99.99).

[stevew]

Did Lucy always play so much goddamn Bush? I swear there must be 6 songs of theirs in heavy rotation. It seems like a lot less of the obscure stuff and much more pearl jam and nirvana as well. Not enough to totally give up on it but spectrum 45 seems to be playing better shit these days.

[rjolley]

Don't know about Lucy specifically, but in general, it seems that the Sirius programming manager tends to play more mainstream music, while the XM programming manager played more obscure music. So, I would guess that after the merger, the programming has changed if you're used to the way XM was. I know the programming is totally different for the stations I listen to. The only one that's really improved for me is the reggae station. The others range from a little worse to so different, we don't listen to it anymore.

[Cringer]

Don't know about Lucy specifically, but in general, it seems that the Sirius programming manager tends to play more mainstream music, while the XM programming manager played more obscure music. So, I would guess that after the merger, the programming has changed if you're used to the way XM was. I know the programming is totally different for the stations I listen to. The only one that's really improved for me is the reggae station. The others range from a little worse to so different, we don't listen to it anymore.

This has been one of the big differences between Sirius and XM for years, mone more mainstream and a sure rotation of those, the other known for playing deeper stuff and not as regular in the rotation from what I have heard.

From the channels I listen to, I have to say they seem to be trying to merge the two philosophies. I am hearing some more 'obscure' tracks mixed in then before, it is not the same old Sirius mix of things. Just my 2 cents.

[rjolley]

My main problem with Sirius/Xm catering to the mainstream is that's what FM stations are for. I liked the mix of mainstream to non that XM had. It does seem to be a shifting bit more away from mainstream than at the beginning of the merger. We'll see if that continues.

One thing that is different is the short SirusXM channel commercials. Seems they come in a lot more than before. Hopefully, they won't start playing regular commercials like The Foxxhole does.

[DanGarion]

Don't know about Lucy specifically, but in general, it seems that the Sirius programming manager tends to play more mainstream music, while the XM programming manager played more obscure music. So, I would guess that after the merger, the programming has changed if you're used to the way XM was. I know the programming is totally different for the stations I listen to. The only one that's really improved for me is the reggae station. The others range from a little worse to so different, we don't listen to it anymore.

I don't even listen to the channels I used to as much because of this. I actually listen to Underground Garage a lot now, but the guys on there talk a bit too much at times.

[Cringer]

My main problem with Sirius/Xm catering to the mainstream is that's what FM stations are for. I liked the mix of mainstream to non that XM had. It does seem to be a shifting bit more away from mainstream than at the beginning of the merger. We'll see if that continues.


Well, lets break this down a little. It's popular, people like it to make it so, it's kind of reasonable to play things most people like in order to make them happy. On the flip side, you won't find most of the music played on SiriusXM on any regular radio station (pulling number out of my ass here....) 80% of the time. How often is ABBA played on radio today? Heavy Metal? I could pick a ton of channels which argue against the 'mainstream' arguement. Though I see your point on a single specific channel basis, so I won't get into an arguement over this or anything. ;)

I am still pissed about losing my punk channel.

[rjolley]

Yeah, it's on a channel by channel basis. I'm sure some channels are less mainstream than others. I'm speaking more of the channels that I actually listen to regularly. Also, I read somewhere that the difference in programming is due to the difference in programming philosophies by the Sirius and XM directors.

[Toddzilla]

It seems to me the difference between Sirius and XM were of business philosophy. XM struck me as a company run my radio/music people, which drove the company to a much better quality of programming but led to business failure. Sirius on the other hand seemed to be run by businessmen, leading to a more well-run business financially, but the quality of the music suffered.

Since the takeover, I'm very disappointed in the Sirius music channels that replaced their XM counterparts - the playlists seem smaller, there is 100x as much jock chatter (shut up and play music for chrissakes), and niche music channels - Fine Tuning, Fungus, The Rhyme - have been replaced with asinine aritst-based channels - Jimmy Buffet Channel, The Bruce Springsteen Channel, The Elvis Channel.

If the merger had resulted in the Sirius board running the business side and the XM people running the programming, it would be the perfect medium.

Still, as bad is it may get, it is a zillion times better than terrestrial radio.

[rjolley]

I think that's a very accurate assessment. The Sirius version of the XM stations I listened to are not as good for those reasons. I'm hoping they'll continue to move towards XM's programming style, as the complaints about the merger all tend to be in this vein.

One good thing, The Rhyme's true Sirius equivalent, Backspin, is due back on Jan 15th. Hopefully, it'll lean more towards The Rhyme's programming.

[Cringer]

SiriusXM is taking advantage of one thing the government never said they could increase prices on. What has always been free online listening with your radio account is going away. Starting in March you have to pay $2.99 a month to listen online.

Seeing this actually reminded me to cancel the account today for my broken radio. We had tried to find a refurbished unit to replace it had had not had any luck for a couple of months. When I called to cancel they gave me 2 months free (put the account on hold as they call it) and pointed out they now have refurbished radios in stock again. We ordered a radio, still got two free months (only $7 when you look closely, but 2 free months sounds nice), and activation will be free since it replaces my broken radio. On top of that, best customer service I have had with any company in a long time. They will out source it any day now I am sure.

[Maple Leafs]

SiriusXM is taking advantage of one thing the government never said they could increase prices on. What has always been free online listening with your radio account is going away. Starting in March you have to pay $2.99 a month to listen online.
Crap.

Wonder if this will apply to XM in Canada too, since the companies aren't technically merged here yet (I think).

[Cringer]

Crap.

Wonder if this will apply to XM in Canada too, since the companies aren't technically merged here yet (I think).

I had a message pop up when I went to sign in to the online listening. If you are not getting that I am guessing you will be ok. Don't quote me on that though. ;)

[JonInMiddleGA]

and niche music channels - Fine Tuning, Fungus, The Rhyme - have been replaced with asinine aritst-based channels - Jimmy Buffet Channel, The Bruce Springsteen Channel, The Elvis Channel.

I imagine they felt like they had to do something when last checked virtually no one was listening to those you mentioned.

http://www.orbitcast.com/archives/SatelliteReport_FA07_P12%2B.pdf

-- Fungus averaged 600 listeners per quarter hour, only cumed (sampled at all) by 29,100
-- Fine Tuning 1200 listeners AQH, cumed 39,200
-- The Rhyme 1500 AQH, cumed 95,000

To put that in some perspective, CineMagic had a 1300 AQH & a 65,500 cume and the Oprah channel had a 3500 AQH with 120,500 cume.

Or to put it in even more relevant perspective, Sirius had 3,700 listeners AQH & 137,800 cume for SR 13 Elvis Radio. And 4,000 & 4,200 AQH for Radio Margaritaville & the Grateful Dead channel respectively. Read that one more time: Elvis f'n radio had more listeners than all three of those you mentioned combined.

Any wonder they looked to make a change?

[Cringer]

I imagine they felt like they had to do something when last checked virtually no one was listening to those you mentioned.

http://www.orbitcast.com/archives/SatelliteReport_FA07_P12%2B.pdf

-- Fungus averaged 600 listeners per quarter hour, only cumed (sampled at all) by 29,100
-- Fine Tuning 1200 listeners AQH, cumed 39,200
-- The Rhyme 1500 AQH, cumed 95,000

To put that in some perspective, CineMagic had a 1300 AQH & a 65,500 cume and the Oprah channel had a 3500 AQH with 120,500 cume.

Or to put it in even more relevant perspective, Sirius had 3,700 listeners AQH & 137,800 cume for SR 13 Elvis Radio. And 4,000 & 4,200 AQH for Radio Margaritaville & the Grateful Dead channel respectively. Read that one more time: Elvis f'n radio had more listeners than all three of those you mentioned combined.

Any wonder they looked to make a change?

Great link, thanks.

Sirius' Punk channel had 2000 AQH on that report, almost twice the number of Underground Garage. They killed the punk channel though. Bastards.

[Maple Leafs]

Don't quote me on that though. ;)
Don't tell me what to do.

[Cringer]

I saw that one coming. :(

[Bearcat729]

Saw this on digg. Sounds interesting at least.

http://www.fool.com/investing/general/2009/01/28/apple-gets-sirius.aspx

Apple Gets Sirius

By Rick Aristotle Munarriz
January 28, 2009 | Comments (6)

Recs
32

The long-anticipated marriage of Apple's (Nasdaq: AAPL) iPhone and Sirius XM Radio (Nasdaq: SIRI) is coming, according to Orbitcast.

Several unnamed sources are telling the satellite radio news site that the uSirius Starplayr program is being submitted to Apple over the weekend. The third-party application will then be just a head nod away from its official release through Apple's App Store.

Is it too little, too late?

Online streaming has been a free perk to paying Sirius XM subscribers, but that is likely to change. Several reports indicate that the company plans to begin charging an additional $2.99 a month for the service -- as it upgrades the audio quality -- in March.

Having a home in Apple's storefront is huge, but will consumers pay up? There are already plenty of free programs out there, including Pandora, Slacker, Time Warner's (NYSE: TWX) AOL Music, and CBS' (NYSE: CBS) Last.fm.

Naturally, there is plenty at stake here. If Sirius XM is able to deliver its programming digitally, it will mean fewer receivers to subsidize. Streaming costs aren't cheap, but this can certainly be an incrementally profitable offering for Sirius if so many other companies are giving it away. Several years from now, maybe even costly satellites and signal repeaters won't be necessary. The downside there, of course, is that a level playing field will make things more competitive for Sirius XM.

Either way, the real crime here is that Sirius XM didn't come to market with its own App Store program first. The ability to reach every iPhone user and any iPod Touch owner with a steady Wi-Fi connection is ridiculous to ignore.

Even when big brands stumble in the App Store -- like Chipotle Mexican Grill's (NYSE: CMG) (NYSE: CMG-B) short-lived mobile-ordering program -- it's important to see companies roll up their sleeves to reach growing audiences.

Kudos to Starplayr if it does hit the market next month. Shame on Sirius XM for not getting there first.

[Cringer]

Shame on SiriusXM? They haven't been SiriusXM very long. I know Sirius by itself has been rumored to be working out deals with Apple for years with nothing ever working. I am sure XM was trying to do the same. This might be a case where the merger helped them.

[Maple Leafs]

Sirius one of the 15 companies most likely to go bankrupt this year?

Sirius Satellite Radio. (SIRI - parent company; about 1,000 employees; stock down 96%). The music rocks, but satellite radio has yet to be profitable, and huge contracts for performers like Howard Stern are looking unsustainable. Sirius is one of two satellite-radio services owned by parent company Sirius XM, which was formed when Sirius and XM merged last year. So far, the merger hasn't generated the savings needed to make the company profitable, and Moody's thinks there's a "high likelihood" that Sirius will fail to repay or refinance its debt in 2009. One outcome could be a takeover, at distressed prices, by other firms active in the satellite business.

15 Companies That Might Not Survive 2009 - Yahoo! Finance (http://finance.yahoo.com/news/15-Companies-That-Might-Not-usnews-14279875.html)

[Cringer]

Some interesting backstory on companies on that list. I checked it out because I wanted to see if they named names on who would take over Sirius. On Howard Stern right now when I turned it on they were finishing a conversation about some EchoStar guy wanting to buy it. I missed the details though and only caught the comments about the guy enforcing a cheap business plan.....share hotel rooms, etc.

[Cringer]

I found some details.


Report: Sirius XM Rejected Takeover Bid


<!-- Start Inside Article Content Section --><!-- Begin Article Image --><!-- End Article Image -->NEW YORK -- February 9, 2009: The Wall Street Journal, citing "people familiar with the situation," says satellite broadcast mogul Charles Ergen made an unsolicited offer late last year to take control of Sirius XM Radio and was rejected. The proposal, WSJ reports, was for Ergen's EchoStar or Dish Network to inject enough capital into Sirius XM for it to meet its debt obligations and avoid bankruptcy. Though that offer was rejected, the paper reported last week that EchoStart has been buying up Sirius XM debt with a possible eye to a takeover.
Ergen "believes that satellite radio would complement his television operation," the WSJ said, and isn't trying to force Sirius XM into bankruptcy to acquire it more cheaply. But, says the paper, "In discussions with investors last week, Mr. Karmazin said that unless he could raise $175 million, he would be faced with one of two options: having Sirius file for bankruptcy or cutting a deal with Mr. Ergen. The bankruptcy option probably would be the least attractive for shareholders."

[Logan]

Probably?

[rowech]

So would that mean XM goes too?

[Cringer]

Same company.

[JonInMiddleGA]

I saw the Charlie Ergen story for the first time about a week or so ago, meant to mention it here but never got around to it. He's not particularly known for playing all that well with others so if he decides he really wants a deal, making one happen one way or another wouldn't surprise me at all.

[rowech]

Same company.

I understand but the article made it seem that they would treat Sirus separate from the XM.

[cooleyvol]

The merger ruined my favorite channel (XM12 XCountry) turned into Outlaw Country with foul mouthed DJs such as Mojo Nixon. Playlist is NOT NEAR the same, substituting acts like Cross Canadian Ragweed and Reckless Kelly with George Jones and Hank Sr.

[Cringer]

I understand but the article made it seem that they would treat Sirus separate from the XM.

Sirius XM is often just referred to as Sirius now since the merger, especially since many consider it as Sirius really just took over XM.

[molson]

I wonder if these are the last days of Howard Stern. You'd think they'd try to renegotiate that contract and send him on his way during a bankruptcy. Though that would likely cause a partial subscriber exodus.

[rowech]

That'll be unfortunate to lose that from our cars.

[rkmsuf]

stern is probably toast if the direct tv guy takes over. that guy runs a tight ship.

if that happens stern should just retire. the show would be lousy going back to terrestrial radio.

[Cringer]

I don't think getting rid of Stern is an option for them actually. His two channels are the most listened to channels on satellite radio, and it's not even close from the last numbers I saw. You would have a large drop in subscriptions. I also remember them doing the math back in his first year on Sirius and how the number of people who signed up in the first 6-12 months basically offset his contract. Not sure if that's accurate but that is what I remember them saying.

I would think dumping contracts like Oprah would do them more good. $50 million and she is on the air 1/2 hour a week. Sirius is also in the process of bringing in more money by charging for the internet listening, bumping up the price of 2nd/3rd subscriptions, or getting people to lock in current prices by paying upfront for 12 months service or more. From what I heard today on Sirius, they are now operating at a profit. That could be BS, it was a comment from Robert Kraft and nothing else backed it up but it wouldn't surprise me with the changes lately. Their big problem is the debt and not being able to pay it off RIGHT NOW.

[rkmsuf]

I don't think getting rid of Stern is an option for them actually. His two channels are the most listened to channels on satellite radio, and it's not even close from the last numbers I saw. You would have a large drop in subscriptions. I also remember them doing the math back in his first year on Sirius and how the number of people who signed up in the first 6-12 months basically offset his contract. Not sure if that's accurate but that is what I remember them saying.

I would think dumping contracts like Oprah would do them more good. $50 million and she is on the air 1/2 hour a week. Sirius is also in the process of bringing in more money by charging for the internet listening, bumping up the price of 2nd/3rd subscriptions, or getting people to lock in current prices by paying upfront for 12 months service or more. From what I heard today on Sirius, they are now operating at a profit. That could be BS, it was a comment from Robert Kraft and nothing else backed it up but it wouldn't surprise me with the changes lately. Their big problem is the debt and not being able to pay it off RIGHT NOW.

Depends on what kind of deal ergen gets on the debt I would think as to whether he continues on with it. right now he has sirius backed into a bit of a corner.

[JonInMiddleGA]

I also remember them doing the math back in his first year on Sirius and how the number of people who signed up in the first 6-12 months basically offset his contract. Not sure if that's accurate but that is what I remember them saying.

I seem to remember some claims like that as well, but I was never able to come close to duplicating that math. In fact, I was never able to come up with any math that figured them even recovering half of his cost unless you took their pie in the sky projections & figured on an unrealistically high retention rate. There was a relative rush for signups when he signed & launched but their retention rate was lousy, so it's not a pure gain over the long haul, there's erosion.

[Samdari]

I wonder if these are the last days of Howard Stern. You'd think they'd try to renegotiate that contract and send him on his way during a bankruptcy. Though that would likely cause a partial subscriber exodus.

An incredible amount of his much reported windfall was in stock.

Makes the 200 million or whatever it was worth like $50.

[rkmsuf]

I seem to remember some claims like that as well, but I was never able to come close to duplicating that math. In fact, I was never able to come up with any math that figured them even recovering half of his cost unless you took their pie in the sky projections & figured on an unrealistically high retention rate. There was a relative rush for signups when he signed & launched but their retention rate was lousy, so it's not a pure gain over the long haul, there's erosion.

right but they went from around 2 million subscribers to 6 million post howard. are you saying that the 4 million gain was funny math and just churn?

and now they have about 20 million with both companies. assuming some efficiencies with the merge it's conceivable they are cash flow positive.

[JonInMiddleGA]

right but they went from around 2 million subscribers to 6 million post howard. are you saying that the 4 million gain was funny math and just churn?

A large chunk of it was just that, including expiring "subscriptions" that came with vehicle sales but have an atrocious take rate and with counting subscriptions assigned to cars that haven't even sold. Sirius accounting methods have always left a lot to be desired, considerably worse in that regard than XM.

Was there growth? I don't doubt it. Was the portion attributable to Stern worth what they spent to get it? Not even close by any reasonable math I've seen yet.

[rkmsuf]

A large chunk of it was just that, including expiring "subscriptions" that came with vehicle sales but have an atrocious take rate and with counting subscriptions assigned to cars that haven't even sold. Sirius accounting methods have always left a lot to be desired, considerably worse in that regard than XM.

Was there growth? I don't doubt it. Was the portion attributable to Stern worth what they spent to get it? Not even close by any reasonable math I've seen yet.

interesting. the company line has always been that the subscriber growth more than pays for stern. I guess the ultimate point is what their cash flow is now.

[JonInMiddleGA]

I guess the ultimate point is what their cash flow is now.

I really don't know if anyone other than Mel and a few of his highest ranking accountants knows for sure. The financials sure get muddled during the merger and between the revenue stream from the carmakers seeming like an iffy proposition uncertain retention figures during an economic downturn, and most of all no idea what sort of accounting method they're going to use to report on the combined entity ... well, you get the idea.

[molson]

An incredible amount of his much reported windfall was in stock.

Makes the 200 million or whatever it was worth like $50.

The $500 million was the 5-year budget for the show, including Stern's salary.

Stock options were all in addition to that

[Samdari]

The $500 million was the 5-year budget for the show, including Stern's salary.

Stock options were all in addition to that

The stories I read when he was signed said that he only got 20 million in cash, the rest in stock.

[JonInMiddleGA]

Mel is saved, at least temporarily, by a $530 million loan from Liberty Media., who takes 40% of the common stock and is supposed to get 15% interest on between now and December 2012 repayment. Times are tough?

My Way News - Liberty Media deal staves off Sirius bankruptcy (http://apnews.myway.com//article/20090217/D96DG8O81.html)

NEW YORK (AP) - Facing a likely bankruptcy, Sirius XM Radio Inc. (SIRI) (SIRI) found a savior in Liberty Media Corp., which will lend $530 million to the satellite radio provider and block a bid for control that had been waged by a rival both companies share: Dish Network Corp. (DISH) (DISH) CEO Charlie Ergen.

Sirius had warned it could file for bankruptcy as early as Tuesday if it could not successfully negotiate with its debt holders.

Sirius XM Radio has 20 million subscribers who use the service to listen to sports, music and talk, including Howard Stern's show, which Sirius landed with a five-year, $500 million contract that could have been terminated in a bankruptcy.

The company found itself on the brink as credit markets dried up and auto sales plunged - a critical factor for Sirius because many new subscribers buy the service in package offers with cars and trucks.

The crisis brought Sirius Chief Executive Mel Karmazin into a standoff with Ergen, who bought up much of the batch of debt that was coming due Tuesday and offered capital infusions and a restructuring of the loans in return for control of the company.

That would likely have meant Karmazin's ouster, but he appears to have found an alternative - in Liberty Chairman John Malone - in time to stave off a Chapter 11 filing.

Karmazin and Ergen have squabbled before, including when Karmazin headed Viacom Inc. (VIAB) and fought with Dish over the fees for carrying Viacom channels. Malone is also a rival of Ergen's, since Liberty controls satellite TV provider DirecTV Group Inc., which competes with Ergen's Dish.

However, Liberty said its deal with Sirius will not be made by its Liberty Entertainment unit, which includes DirecTV. Liberty plans to spin off a portion of the business into a separate, publicly traded company.

Sirius shares were up 7 cents, or 70 percent, at 18 cents in afternoon trading.

Representatives for Ergen did not return messages seeking comment.

As part of the deal announced Tuesday, Liberty will provide a $280 million senior secured loan to Sirius, $250 million of which will be funded on Tuesday. Sirius will use the proceeds of the loan to repay $172 million of its maturing 2.5 percent convertible notes that had been due. The rest will be used for general corporate purposes.

The loan from Liberty bears a 15 percent interest rate and matures in December 2012.

The second phase of Liberty's investment provides another loan of $150 million to Sirius XM. Liberty has also agreed to offer to buy up to $100 million of the loans outstanding under Sirius XM's existing credit facilities.

In exchange, Liberty will get 12.5 million shares of preferred stock convertible into 40 percent of Sirius' common shares, and two seats on the company's board. The company said it expects the seats to go to Malone and Liberty Chief Executive Greg Maffei.

"By strengthening our capital structure and enhancing our financial flexibility, this investment allows us to continue providing the great content and innovative programming our subscribers know and love," Karmazin said in a statement.

But while the deal has bought Sirius time, analysts said it will not solve all its problems or ensure the company remains independent.

Argus Research Co. analyst Joseph Bonner said the terms give Liberty a foothold toward a possible takeover of Sirius, which has two more major debt payments this year and is still struggling to gain subscribers in the recession.

"Undoubtedly Sirius will continue to struggle," he said.

For Liberty, the deal makes clear financial sense, providing a hefty 15 percent return on its loans. The other advantages of Liberty's stake in Sirius are less certain, but one long-term option might be to convert Sirius' satellites to provide video.

"Reconfiguring the satellites up in the orbit and using them to provide satellite television is going to be very difficult, but it can be done," Standard and Poor's analyst Tuna Amobi said.

[Cringer]

"Reconfiguring the satellites up in the orbit and using them to provide satellite television is going to be very difficult, but it can be done," Standard and Poor's analyst Tuna Amobi said. <!-- / message --><!-- sig -->

They already provide backseat TV with at least one of those satellites. I have always wondered how many people actually pay for that service though, I have always figured it was a pretty low number.

[Toddzilla]

I'm pretty sure there is a lawsuit in the courts now against Sirius for using their satellite bandwidth for television, since the terms upon which that part of the radio-spectrum they purchased was for radio use only.

or something like that

[Maple Leafs]

Any XM folks having trouble getting onto XMU (channel 43)?

On my car radio, whenever I try to go to that preset it says "updating" and then flips to something else.

[Dr. Sak]

I got it working

[Butter]

Any XM folks having trouble getting onto XMU (channel 43)?

On my car radio, whenever I try to go to that preset it says "updating" and then flips to something else.

If you are in Canada, there is word on the XMFan boards that XMU is one of the channels that is periodically "pre-empted" due to bandwidth constraints in order for XM Canada to bring their customers MLB games live. So, it shouldn't be out all the time, but at times the channel will "disappear" when the bandwidth is needed for an MLB game's play-by-play. A number of the Canadian subscribers are pissed.

[Ksyrup]

XM has totally sucked since the merger. The latest (or shortest) straw was when they pre-empted Liquid Metal for a month (so they say) for an entire month of Mandatory Metallica. Fuck You Sirius/XM! Your music channels already suck - they're basically Clear Channel programming cut up into genres, as opposed to XM's actual deep cuts/deep playllist philosophy - and now they are taking away my only metal channel and giving me 30 days of the most played metal band on the radio in the history of the earth? Gee, thanks!

If it wasn't for the sports content and talk radio (I really enjoy the POTUS channel), I'd probably cancel my subscription.

[Maple Leafs]

If you are in Canada, there is word on the XMFan boards that XMU is one of the channels that is periodically "pre-empted" due to bandwidth constraints in order for XM Canada to bring their customers MLB games live. So, it shouldn't be out all the time, but at times the channel will "disappear" when the bandwidth is needed for an MLB game's play-by-play. A number of the Canadian subscribers are pissed.
Ah, OK, makes sense I guess. Thanks.

[JonInMiddleGA]

Quick question for some of our SiriusXM users here.

On the regular music channels, anybody ever heard anything like an interview (think p.r. tour sort of thing, random topic) dropped into the content? I don't mean like the old school rap channel talking to LL Cool J, I mean like it or the alt rock channel or something running a 7 minute clip with a gardening expert.

Yes, I know that sounds crazy. No, I don't believe it happens.
I'm just trying to help someone debunk a claim from an overpaid p.r. firm who apparently thinks he's dumber than a sack of hammers.

Otherwise, I'm nuts & they actually do this sort of thing and I've just never once heard it on the Hair Nation feed from Dish Network.

[Butter]

I've never heard anything like that on the music channels, and I listen to them for about 2 hours a day every day, and have for nearly a year.

[Ksyrup]

No, unless you count all the freaking commercials they now have.

[JonInMiddleGA]

Thanks Bo69 & Ksyrup.

I knew I'd never heard anything even remotely close to that but before I made a definitive statement like "they're full of shit" when they claim that this audio press released aired "on every SiriusXM channel", I wanted to see if it sounded as blatantly absurd to a regular listener as it did to me.

[rowech]

Quick question for some of our SiriusXM users here.

On the regular music channels, anybody ever heard anything like an interview (think p.r. tour sort of thing, random topic) dropped into the content? I don't mean like the old school rap channel talking to LL Cool J, I mean like it or the alt rock channel or something running a 7 minute clip with a gardening expert.

Yes, I know that sounds crazy. No, I don't believe it happens.
I'm just trying to help someone debunk a claim from an overpaid p.r. firm who apparently thinks he's dumber than a sack of hammers.

Otherwise, I'm nuts & they actually do this sort of thing and I've just never once heard it on the Hair Nation feed from Dish Network.

Channel 40 (I think it's called Deep Tracks) often has interviews with people.

[Ksyrup]

There is that annoying fucktard who talks about the amazing money you can make selling items on eBay from your home. I hate that guy. He tries to sound like he just ran into you at the mall and wants to tell you about this great idea. Fuck him and the people who insult my intelligence enough to make a commercial like that.

[rjolley]

I've heard interviews with people, but not a random interview about something not pertaining to the channel I'm listening to and on every channel I listen to. I think that's what you're saying he's saying is happening.

[JonInMiddleGA]

I've heard interviews with people, but not a random interview about something not pertaining to the channel I'm listening to and on every channel I listen to. I think that's what you're saying he's saying is happening.

Yeah, that's it exactly. The p.r. firm claimed to have gotten a 7 minute taped bit (concerning tips for your home lawn) aired on "all Sirius XM" channels. I don't find it beyond the pale to think that some channel might have used it if they were desperate for filler but I found it beyond absurd to claim that every channel ran it, and at no charge no less.