Monday, February 19, 2007

The inevitable outcome: Sirius, XM merge

After a few years of burning through cash fighting each other, the US' two satellite radio networks have reached the conclusion we all could forsee: Sirius and XM are to merge.

It's good news for their 12 million-odd subscribers, and good news for the radio industry in general. Perhaps less pleased by the news will be the sports organisations who've enjoyed a bidding war for radio rights - Sirius, for example, had signed up to pay $220million to the NFL over a seven year-period. Now the two companies won't be rushing to outbid each other, there might be some money left over for more interesting things.