Satellite Radio Merger More Likely than Ever

The Federal Communications Commission’s (FCC) five commissioners finally appear close to approving Sirius Satellite Radio’s (SIRI) purchase of XM Satellite Radio (XMSR). The two companies have been put through the wringer over the last 17 months as they have lobbied and petitioned their case to merge in order to stay competitive. The negotiations and deliberations became embroiled in Washington D.C. politics—which inevitably takes a lot of time—but it appears as if approval is, at long last, at hand. It is surprising that the deliberation lasted this long because, as we see it, XMSR and SIRI are really not competing against each other but against every other alternative provider of music (and there are many). Consumers have a myriad of options when it comes to how they receive their music entertainment and combining the only... [read full story]