Will Satellite Merger Lower Prices?

Soon after announcing their hoped-for merger, Sirius and XM told an investor conference call they planned to raise rates. They're beaming a different tune now. If the merger goes through, they promise to allow subscribers to block adult channels, pay a la carte, and save an unspecified amount off the current minimum of $12.95/month. The climate surrounding the merger has been chillier than expected. FCC chair Kevin Martin has expressed the opinion that the satellite services' federal operational licenses prevent them from being combined into a single company. And Sen. Herb Kohl (D-WI), chair of the Senate Antitrust Committee, has referred to the proposed merger as "a real bad deal for consumers."

westcott's picture

Well, as you can tell from the reponses, most audiophiles could care less about either format. There was a lot of potential to take over and generate a lot of revenue but without even CD quality sound, not many here care. Maybe with the added bandwidth, there might be some hope for higher quality audio via satelite, but I am not holding my breath.