Satellite Radio: Diversify or Die

[Ian David]

Thursday, 11 January 2007
Satellite Radio: Diversify or Die

XM and Sirius, the two satellite radio competitors, are fighting each other and consumer apathy for pay-for radio services, but both companies recognize that leveraging their broadcasting capabilities to deliver other services is necessary for survival.

At CES, Sirius unveiled the Sirius Connect A/V Tuner SC-V1, a TV tuner that delivers programming to vehicle passengers. At $300, it is much cheaper than other mobile TV alternatives and bundling the radio service gives them a huge competitive advantage.

Meanwhile, XM came out with the CommanderMT, a slim faceplate that incorporates the removable XM Mini-Tuner module that can be used outside of vehicles. Both companies are also selling several portable and home entertainment to broaden their appeal.

<snip>

The companies are rumored to be considering merging, which would streamline operations (the layoffs make investors happy) and eliminate the either/or option for consumers who might prefer one company's content over another.

More:
http://blog.wired.com/cars/2007/01/satellite_radio.html

FYI: XM has Air America Radio. Sirius has Howard Stern.

[jedr]

1. Not sure of your point, but will comment on sat. radio;

First at 6mill+ subscribers to Sirius alone, it's far from apathy...do the math at $13 per month. Next , this industry is in it's infancy, the market will bring about changes that make it more attractive to more people. Last but far from least, I love it!!!!! I'm a big boy and know how to change the dial when something is distasteful to me. I love Howard, but also listen to fine Jazz,( 4 stations), old time radio programs, Espn, Football, the best music programing I've ever heard ( reminds me of the first FM stations in the '70's ) in any style that you want, Classical and NPR, three comedy stations....Haven't used my CD changer since I bought it over a year ago. As long as the government allows huge monopolies like Clear Channel to dominate what you listen to and put out milk-toast garbage as entertainment , there will be a market for Satellite Radio.