sirius
XM / Sirius Merger Making a Lot of Noise
XM Satellite Radio (Nasdaq: XMSR) and SIRIUS Satellite Radio (Nasdaq: SIRI) announced today
that they have entered into a definitive merger agreement. Under the terms of the agreement, XM and SIRIUS shareholders will each own approximately 50 percent
of the combined company.
Stepping back, this means that the merger will result in a single satellite radio provider with more than 12 million total subscribers. This will also bring together the best of both worlds: Howard Stern, Opera Winkrey, Major League Baseball and Nascar. (Amongst some other great programming).
Satellite radio haters will often cite that ubiquitous wireless or mobile Internet connectivity will render satellite connection pointless. I agree, but I still think that XM and Sirius could have a long future in radio.
