Sirius, XM merger proves content is king

We need to be realistic about this. This union is not going to be a 1+1=3 thing it's going to be 1+1=1.5 if even that. They are merging to save money, which, post-merger, is going to mean less content, worse service (as there will be no competition), huge spikes in prices especially for those who enjoy a variety of stations, and last but not least, the requirement to purchase new hardware to recieve signals from both companies' satellites.

For stock holders this may sound good now but for consumers this is abismal. The destruction of competition will lead to the complete deterioration of the industry. As consumers turn away from sat. radio, stock will go down anyway resulting in a losing situation for everyone in the long term.

The solution lies in action. The Consumer Coalition for Competition in Satellite Radio (C3SR)(http://www.c3sr.org) is the foremost group dedicated to fighting this merger and its obvious negative consequences. JOIN THE FIGHT NOW!

I'm excited about the potential of the merger; as a SIRIUS customer I wish I could also get Major Leagure Baseball games; this merger makes that possible. I would like to hear Bob Dylan's show, now it could happen. Would this also allow satellite radio to investigate ways to improve sound quality? I see a lot of upside for listeners, so I'm hoping the merger occurs.

Jason - Good luck with your cause, but I think you've missed the point. Think about the capital costs (launching a satellite is a massive expenditure) and variable sales and fixed programming costs each company faces by going it alone vs. combining forces. Ever considered that these two firms competing against each other might be worse for the consumer?

To start, they could cut their retail sales & distribution costs significantly as a combined company. So far, competition between these two has led to some eyebrow-raising talent deals, so the merger naturally mitigates that horse race. They could also eliminate redundant programing. 80's music is 80's music no matter how you slice it. They can also combine their proprietary content making the service more appealing. I can get MLB and the NFL on the same service? Cool.

The point? Combining forces frees up more available resources for them to improve their service as a combined company, not worsen it. Not sure how you made that jump. Price hikes? Doubtful. Nobody is forced to pay for satellite radio, and free radio is ubiquitous, so there's a readily available substitute (even if the format is ad-based). What about internet-based radio and iPods? You can't count them out either.

There will always be people willing to pay for premium content, but they have their limits too. They can ditch their service whenever they want without a penalty if they are not happy, so this factor alone will keep prices stable.

This industry is not going to "deteriorate," it will only get more compelling for consumers. And, if you don't like it, don't sign up for it. That simple, really.

Let's Cut To the Chase--There are Two Companies With Rights To Two Special Frequencies.
The Same Two Companies That Have A Freedom Of Content--No Other Licences Have.
They MUST COMPETE To Set A Market Price For Subscription Service--If Only One Exists--There Is No Market--And Price Fixing Exists.
It's Called A monopoly.
The Rules And Fequencies--Are Only Specific To these Two.
Just Because They arrive In The Same Radio--Does Not Equal A MARKET--For These Special Licences.
EMIL J KOVACH JR

Jason....no competition? What about FREE terrestrial radio. I would say that competition still exists aplenty, and the competition is FREE. People have plenty of choice in this marketplace. Satellite's advantage is its unique content and nationwide delivery. If that is important enough, consumers will pay for it. They do have a choice, however, and Satellite will have to deliver quality content at an affordable price in order to compete with terrestrial radio and stay in business. Look at Cable, Satellite and OTA television reception...same rules apply. You cannot monopolize the market when there are alternate means and services for delivery.

Well said Paul, you've hit the nail on the head!

pay for radio.

I have had XM radio in my car for the past 4 months and love it. My only concern is that although I will receive MLB broadcasts on XM, I won't receive NFL games in the fall. I could care less about Opra, Howard Stern, etc. My listening taste is music, old time radio and sports. I'm all for the merger.