XM and Sirius Satellite Radio To Merge?

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(02-19) 13:14 PST New York (AP) --

XM Satellite Radio Holdings Inc. and Sirius Satellite Radio Inc. have agreed to merge, the two companies said Monday.

The deal would consolidate the only two companies in the emerging business of subscription-only satellite radio, and is sure to face tough scrutiny from federal regulators. Investors and analysts have been speculating about a deal for months.

http://www.sfgate.com/cgi-bin/articl...sn=001&sc=1000

The main reason I haven't gone to satellite radio is because I think it's dumb that if I pay the money for one company, I can't get the content off the other. For those that don't know, Howard Stern is only on Sirius. But Opie and Anthony is on XM. So if you want to hear one, you can't hear the other. But if I could get access to O&A AND Stern on the same service, I would be way more likely to pay for it---like cable TV.

Setting up exclusive contracts might be good for the entertainer, but it's self-defeating for the company. For example, if there were only 2 cable companies on earth and Company-A is the only one to offer HBO but Company-B is the only one to offer ESPN....a lot of consumers are going to just say "fuck it" and get neither. Who wants to pay a premium price to miss out on popular content?

On the downside, if there's only 1 option for consumers, it's way easier for the companies to fuck you in the ass on the price. If the Feds let them merge, I wonder how this is going to affect the current prices for the services.

[D1st0rt]

The FCC already said no

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As an XM user, I have no problem with this, except they are going to have a problem with Howard Stern. Noting that majority ownership of XM is Clear channel company of which fired Stern from many of its radio station in the FM days, they do not want him as part of this deal.

I cannot stand Stern anymore. It would be a blessing!!!

Opie and Anthony / Ron & Fez are just so much better than Stern and his cackeling sidekick Robin the uselss Quivers. Stern went down hill just before Jackie left.

FCC btw does not regulate paid programing for satellite radio. There are other issues, but the FCC is not part of it.

[D1st0rt]

The FCC doesn't regulate what they play on the air, but

When the FCC initially licensed the two satellite radio companies in 1997, there was language in the licensing barring one from acquiring control of the other

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Your correct on that.

What will be interesting is if the Satellite Radio (XM & Sirius) can prove:

"The FCC can undo anything it does," said Andrew Schwartzman, president and CEO of the Media Access Project, a public interest law firm in Washington. "However, when you change course, you need a good reason to do it."
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if the companies can convince the Justice Department that there is competition from the nonsatellite radio market, it will help their case with the FCC.

"If they do that, I don't see how it's a problem for the FCC to say, 'We no longer need this rule,'" said Blair Levin, a telecommunications analyst with Stifel Nicolaus and the agency's former chief of staff under former FCC Chairman Reed Hundt.

This makes sense & seems like this could open up a new door on federal regulations of the Satellite Air Waves if it does go through.