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One Satellite Radio for All

Mar 25, 2008 – 9:54 PM
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Charles Rich

Charles Rich %BloggerTitle%

Some good news for sports fans who have had to choose between Sirius or XM satellite radio service to get some live sports coverage. The US Justice Department has given its blessing to Sirius' proposed buyout of XM.
The Justice Department, in a statement explaining its decision, said the combination of the companies won't hurt competition because the companies are not competing today. Customers must buy equipment that is exclusive to either XM or Sirius, and subscribers rarely switch providers.

"People just don't do that," said Assistant Attorney General Thomas Barnett, in a conference call with reporters.
The most intense lobbying effort to block the sale was from land-based radio powers. The Justice Department, though, recognized that the competition by satellite radio wasn't against each other. The competition is with regular radio, the emerging HD Radio and internet/streaming radio.

This doesn't end potential government disruption. The Federal Communications Commission still has to grant approval. It does, however, clear a major hurdle and makes it more likely that the two will be merged.

This will be a boon for those who have been torn about which satellite service with which to sign. XM holds the rights to the PGA, MLB, NHL along with deals with the six BCS conferences. Sirius, however, has the NFL, NBA, NASCAR, the NCAA (including the NCAA Basketball Tournament) along with the rights to individual college sports teams like Ohio State, Alabama, UCLA, Pitt and Notre Dame.
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