Tuesday, February 20, 2007
In a move I long-anticipated, XM Satellite Radio and Sirius Satellite Radio agreed on Monday to merge their operations and build the dream together rather than continue their epic and oft-bitter battle. As discussed in an interesting article from today's Los Angeles Times, several questions remain -- antitrust issues, of course, but a more fundamental question of whether a place exists in consumers' minds (and wallets) for satellite radio in this era of iPods, iTunes and all of the other digital music services. I originally was skeptical years ago when I first became President of Musicmatch (back in 2002), but then slowly became a believer (I myself have satellite radio in my car and listen to it 75% of the time). Interestingly, Sirius Radio's chief Mel Karmazin will run the combined operations (assuming the deal passes regulatory muster).