5 Reasons a Merger Won't Save XM and Sirius

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Mr. LaGesse is correct.
While it's true that Howard Stern and Bubba have large followings, the question is, "Are they large enough to sustain the service?" Probably not and music fans, once exposed to both satrad service (5 or 6 genres on 120 channels for $9.95/ month) and theradio.com (20 to 30 genres for zero dollars per month), are likely to make the intelligent choice. (I'm so grateful to DirecTV for adding XM channels to their service. I was within a week of spending $200 for a receiver and subscribing to the service. Then I saw the limited variety XM offered and put the money to better use.)
Satrad has a temporary advantage by being currently available as a mobile service but that is going to change drastically in the near future.

Dave L. of WI 11:22AM June 19, 2008

I think comments about the unique content on SatRad are interesting and valid. But I question if selling their shows across other delivery systems will pay their bills.
I think their business model was to get a premium for content because it could be delivered where there were few competitors. My story argues there are now more competitors. Maybe no one of them is a huge threat. But all of them will discourage subscriptions at the margin, and that's where the profits are.
SatRad will have its place, I'm sure, but it won't be as dominant as envisioned when they paid big $$$ for all that talent. Something's got to give, and I suspect it will be the shareholders (of which I am not one, and never have been, except perhaps through one of my very bland index mutual funds)

David LaGesse of MO 1:11PM June 18, 2008

and a boba boeey to ya all.

jit of OR 12:05AM June 18, 2008

I experienced XM in Maine [son-in-laws vehicle] -- lots of MLB including a station enterly dedicted to MLB talk! This service is ideal for sales reps, now no longer subject to the blandness of conventional radio. PHX KOOL FM stinks! Mony, Mony; Wooly Bully; Hang on Sloopy; Louie, Louie; Proud Mary -- over & OVER again! Just as the song by Dave Clark states [of which not played] "I said over and over again this dance [station] is a drag..." Believe this suddenly now every rock station [KOOL; KYOT; KSLX] is playing Doobie Bros. and Santana beyond reason! I loved it how in the movie "40 yr old Virgin" they made fun of Michael McDonald -- I'm so sick of him solo or Doobie wise! Last Christmas he ruined Christmas songs as bad as Michael Bolton.

Joe of AZ 3:31PM June 17, 2008

I'm making $$$ hand over fist!!!........Love it or leave it, We're here to stay!

toyo7g of GA 2:58PM June 17, 2008

Don't forget about the talent, ie; Bubba The Love Sponge!

toyo7g of GA 2:48PM June 17, 2008

But there is competition, which is why XM and Serius aren't making a lot of money (plus Serius has blown a lot of money on Howard Stern, but I digress...)
However, not everyone wants to take the time to put together playlists and keep them updated on a portable player. Not every car is equipped with a port for an iPod or Mp3 player.
I think there's a place for satellite radio in the market. To get commercial free music in your choice of genre is certainly worth the nominal cost of the service; it's dirt cheap.

Tom of CA 2:20PM June 17, 2008

Satellite radio was doomed at the first launch, increasing availability of free high quality portable local and global music and programming being the main reason. While satrad boasts a little over one hundred stations, their actual variety of genres is limited to the same seven or so generic homogenized types coming from terestrial commercial broadcast stations.
Internet radio and personal listening devices, on the other hand, offer literally thousands of stations with more variety than most people can imagine... you just have to click around a short time to be absolutely amazed at what is available. MP3 players, like the Sansa and iPod offer you precisely the programing to which you want to listen precisely when you want to listen.
And it's either completely free or included with services for which I would be paying anyway, not an extra $10 per month (or soon to be more if the meger is approved and satrad becomes a monopoy,) for a listening experience that reminds one of eating uncooked dry oatmeal.

Dave L. of WI 11:17AM June 17, 2008

Ipod: Yes with ipod you can stream lots of music but you need to constanly update yourself with the latest in music and who has got time to do that. Thats why many prefer sat rad.
HD Radio: HD radio is funny, have your ever listented to that. It is still the same crap with lot of commercials.
Internet Radio: Probably a good idea. But there is not lot of gadgets available in the market for a free streaming. Yes you can with listen to them from lots of phone, but hey who is gonna pay for the data access.
CellPhones: Should be more less covered with the earlier one.
Wimax: Wimax is a promising tech which is happening. Yes With wimax XM-SIRIUS could drop their satellite and become a media company. XM-SIRIUS will be humongous radio media company in another couple years with NFL, Howard, NASCAR, Commercial free music. Wimax will be a hit in US in another couple years, till there there is more time for sat rad to grow and don't forget the Car Audio industry by itself.

Invezguy of CA 12:23AM June 17, 2008

5 Reasons a Merger Won't Save XM and Sirius
By David LaGesse
Posted June 16, 2008
________________________________________
For the author of this piece of depressed BS... Go take an upper man.... You are so far depressed that I somewhat feel sorry for you... HaHa....
I'll gladly donate $5.00 in case your broke for selling your stock. And I'm almost sure others might also.... All you have to do is "ask".....
Old Georgia Dawg

OldGaDawg of GA 9:24PM June 16, 2008