No surprise. Satellite radio has been failing since its inception. Creating a monopoly (merging XM and Sirius) hasn't helped their bottom line. Echostar is going to take it in the shorts.

http://www.nytimes.com/2009/02/11/technology/companies/11radio.html?partner=rss& emc=rss

Their biggest mistake was paying the worthless waste of skin, Howard Stern, $500 million.

He's not worth 500 cents.

If he's really so great then he should have been given a reasonable salary and some percentage of the increase in revenue, if there is any.

Got that right. But I think their failure is due to more than just Howierd's contract. As a new delivery system for infotainment, they were counting on a ridiculous acceptance/adoption rate when the whole system is at a cost to consumers whom have other options. Rather than carving a niche through programming excellence, they just created a high overhead delivery system void of talent, largely automated, and offering too little that was/is not available through already existing means. In other words, thinking that Howierd's presence alone would carry the bottom line was foolish.

I bought Sirius at about $3 a share, watched it triple to $9 a share and got too greedy. Ended up selling it for about $3 a share and broke even. Looking at the stock price today, I'm fairly happy with breaking even.

Bottom line for satellite radio is that they paid way too much for each subscriber, in terms of equipment, delivery, and talent.

Some of their channels are excellent!

In fact, I used to listen to CH-16, The Vault, and enjoyed it a lot before the merger.

Now they have changed The Vault to Deep Tracks and I like it even more! It's an even better mix of music. Some really obscure stuff, some weird stuff and a lot of awesome stuff!

But, you know, it's kind of like my satellite TV or cable TV. There's 150+ channels and I probably listen to maybe 6 or 7 of them on any kind of regular basis.

I just hope they don't go dark and just do a re-org.

Skybill wrote:
Their biggest mistake was paying the worthless waste of skin, Howard Stern, $500 million.

Are you sure that's all that bothering you? You conservatives have been wanting to censor Stern for years in the name of family values. That's why he went to Sirius in the first place.

I don't want to censor him. I don't give a fat rat's patootie if he's on the air or not. I just think Sirius wasted their money.

Like I said, Stern isn't worth 500 cents let alone 500 million.

There is no entertainer worth 500 million in my book.

Stern is the reason I almost went with XM instead of Sirius (of course now it doesn't matter), but in the end I chose Sirius because I was familiar with them from my Dish Network.

Read this, from the NY POST. Looks like they all bitin' the dust and need some Stimulus money !

http://www.nypost.com/seven/02112009/business/in_sirius_trouble_154457.htm

I do like some of the lineup changes they have made on channels 5, 6, and 7. Now they will probably make budget cuts and go back to jukebox/liner format.

Get rid of all the huge salaries that people like Stern and Oprah make.

Didnt they just spend like 8 million to cbs for the rights to Sterns previous tapes?

waste of money.

Mel is threatening to take it into bankruptcy to avoid a takeover by Ergan who operates Dish Network. They are long-time adversaries and don't like each other at all. Ergan has purchased some of the Sirius/XM debt and is holding it over Mel's head, trying to get him to negotiate a takeover by Dish. Dish...Echostar actually....is very well financed and it would be interesting to see what Ergan would do with complete control of the Sirius/XM frequencies. If you've got it, listen now, as it might not be around long.

Another aspect of this is an opportunity for terrestrial Radio to put the satellite guys away once and for all. "Would you buy a receiver from a company that may not be around tomorrow?"
"Why renew your subscription....you won't get the money back if they go bankrupt." Need I say more?

Remember not too long ago when Sirius and XM were going to take all of us out and become the only Radio? Remember who predicted that would happen? Let me give you a hint or two....Eric Rhodes...Jerry Del Colliano. Remember that the next time these guys begin preaching about the end of Radio.

No stimulus money from me. I just canceled my XM subscription. Use Internet streaming radio at home, all bazillion stations... and the same on a T-Mobile G1 in the car, although with fewer stations.

I think they'll create a free lineup of programming with commercials, for anyone who buys a tuner. Then they can generate revenue from more advertisers. They can still keep a "premuim" tier for subscribers who want commercial-free radio.

How did that happen?

Look at the chronology of the posts.

I made one at 7:56 PM on 13-FEB.

Then Kennewickman made one after mine but it's dated 10:16 AM 11-FEB!

The next two are also out of sequence then the last two are OK.

Maybe we're in the Twilight Zone!!

At one time, I think that there were 3 threads on this subject, and perhaps they were combined ?

.....Another aspect of this is an opportunity for terrestrial Radio....

....Enter for a chance to win a fully loaded I-Pod, or a free sattelite radio for your car and a two year subscription for XM radio from your friends at K-starz radio... your home for the hits......(until you replace us with your prize)

Yep, you could have battled them from the start and hurt them right out of the box, but instead took the short term ad revenue.....Hmmm where will those listeners go now?

Looks like the parent company of DIRECTV is comin' to the rescue to the tune of about 250 million dollars.

And that happens when Kennewickman doesnt read the string topics well enough before starting a his own...sorry about that Chief !

"...missed it by that much."

I've heard (On ABC Radio News) that the loan from Liberty Media to XM/Sirius is $500 million.

Can anyone confirm that?

It might be time to start my subscription up again.

I read on R & R Liberty came to the rescue. I love my Sirius. All the sports is fantastic.