XM/Sirius Merger

[jdobbin]

http://www.cbc.ca/technology/story/2008/07...s-conflict.html

The planned merger of the two U.S. satellite radio companies could raise competition concerns for their Canadian counterparts even if they don't follow suit and merge into one company.

The merger of the XM Satellite Radio Holdings Inc. and Sirius Satellite Radio Inc. into Sirius XM Inc., which recently received approval in the U.S. from the Federal Communications Commission, raises the possibility that the combined company would have an ownership stake in both Canadian satellite radio businesses.

According to XM Canada's year-end financial statements for 2007, XM Satellite Radio Holdings Inc. has a 23.3 per cent interest in the company. XM Canada is a publicly traded company run by Canadian Satellite Radio Holdings, also of Toronto, in partnership with XM Satellite.

Sirius Satellite Radio Inc. holds a 20 per cent stake in Sirius Canada, according to Sirius Canada spokesman Jeff Roman. Toronto-based Standard Radio and the CBC are the majority owners.

This is an awkward situation to the say the least.

It seems likely that the Competition Bureau and the CRTC will eventually have to look at the situation.

If XM and Sirius couldn't make a go of it alone in the U.S., I wonder why they think it will be different in Canada.

I have waited for the early adopters to buy into this before deciding if it is for me. I guess we'll see how it plays out and what the offerings are in the next while. I'm curious how the merger in the U.S. will change things up in Canada.

Anyone subscribe now?

Edited July 31, 2008 by jdobbin

[M.Dancer]

http://www.cbc.ca/technology/story/2008/07...s-conflict.html

This is an awkward situation to the say the least.

It seems likely that the Competition Bureau and the CRTC will eventually have to look at the situation.

If XM and Sirius couldn't make a go of it alone in the U.S., I wonder why they think it will be different in Canada.

I have waited for the early adopters to buy into this before deciding if it is for me. I guess we'll see how it plays out and what the offerings are in the next while. I'm curious how the merger in the U.S. will change things up in Canada.

Anyone subscribe now?

If they can't make a go of it why should the CRTC care? Why shoud they even have jursidiction?

[Shakeyhands]

I'm a Sirius subscriber now, it indeed will be interesting to see what pans out here.

[jdobbin]

I'm a Sirius subscriber now, it indeed will be interesting to see what pans out here.

It would be odd for the two companies to operate separately in Canada with a shareholder who owns both.

There are also some interesting questions in regards to programming. I assume Sirius subscribers get a lot of U.S. Sirius programming and the same for XM. When the companies merge, I wonder how their supply to Canada will be affected. I doubt they are will run two classic rock sat stations, for example.

[Shakeyhands]

I wonder how their supply to Canada will be affected. I doubt they are will run two classic rock sat stations, for example.

Well I can tell you that even now the programming is different. The main stations are the same but included in the Canadian content is the french (RDS?) and CBC content that the US doesn't get. Beyond that, there are channels in the US that aren't available here such as the Punk channel and any special channels that they market like John Mellencamp sitting in for a couple weeks or The Who channel.

As an aside, I'm not sure I could ever go back to terrestrial radio, the sat radio is just so much better.