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Sirius XM Prepares Bankruptcy Filing. Update:Gets Lifeline From Liberty Media

Discussion in 'Current Events' started by MacNut, Feb 10, 2009.

  1. macrumors Core

    MacNut

    #1
    http://www.nytimes.com/2009/02/11/technology/companies/11radio.html?ref=technology
     
  2. macrumors 68030

    Drumjim85

    #2
    not surprising, they've posted a loss every year.
     
  3. macrumors 68000

    GSMiller

    #3
    Well I'm not the least bit surprised. What did they expect buying out XM when they both posted a loss every year? No worries, maybe the US government will bail them out :rolleyes:
     
  4. macrumors 68040

    obeygiant

    #4
    should I sell my stock now? :(
     
  5. macrumors 68030

    Drumjim85

    #5
    you never should have bought your stock
     
  6. macrumors 68040

    obeygiant

    #6
    yeah, i think i bought like 5 share a couple years ago at about 2 dollars. worth nothing now... *shrugs*
     
  7. macrumors Core

    MacNut

    #7
    The company would probably be taken private.
     
  8. macrumors 68030

    Drumjim85

    #8
    and still fail...
     
  9. macrumors Core

    MacNut

    #9
    I don't see the company just disappearing, it has a lot of assets, it just needs to be run better.
     
  10. macrumors Penryn

    Abstract

    #10
    XM was supposedly very good before it was bought by Sirius.


    To be honest, I think now is the absolute best time for something like Sirius to enter the market. It's an option now in so many cars, and since the turn-over rate for cars is rather long (i.e. many years), is it any wonder that digital radio hasn't caught on? My step-dad just bought a car with XM radio, got the 3 month free subscription, and was thinking about subscribing.

    It's no more or less crazy than signing up for hundreds of cable stations. My step-dad travels 1.5 to 2 hours a day by car, and this will make it more enjoyable. I also like SiriuXM (I think that's the name), which is an indie music station. If I get a car in the future, I'd make sure to get the XM/Sirius option.

    It's so funny how they're now going bankrupt when I really think they're about to break out and finally make a profit.
     
  11. macrumors 68000

    #11
    They better not disappear, I love my Sirius! I've been a subscriber since 2003. I doubt they will just drop off the face of the earth, it is a good service, and there really isn't anything like it out there, unless you want to listen to crappy FM. Perhaps Dish Network/EchoStar will buy them out, I just hope it doesn't screw with my favorite channels. :)
     
  12. macrumors 68020

    #12
    I think EchoStar will just absorb them and it will be rebranded EchoStar Satellite Radio. It's still a very viable service, especially since it offers music that the terrestrial radio stations completely miss and the fact it's still the best source for listening to almost any MLB and NFL broadcast in-season.
     
  13. macrumors 65816

    numbersyx

    #13
    The problem was that there wasn't the room in the market for two satellite players. They realised this but the Govt. bureaucracy delayed the merger for reasons I still don't understand and for a period of time that was damaging to both companies.

    Have no doubt SiriusXM will survive and actually grow now that this is out of the way. The bankruptcy filing is as much of a tactical manoeuvre as anything else...
     
  14. macrumors 68000

    #14
    I agree. It was a new service, and there just wasn't enough demand to support two companies. Hopefully the merger will pay off in the long run, it has only been a few months, these things don't turn around overnight. Just because they file bankruptcy it doesn't mean they are going to disappear tomorrow. We shall see what happens, but I have faith. :)
     
  15. macrumors 65816

    MooneyFlyer

    #15
    Yep, this is just a tactic to get the Echostar people that own a lot of the debt worried. Also, if they did go to bankruptcy they could renegotiate their debt and contracts under the laws.

    Unfortunately, I still own too much of this stock because I'm stupid and believe in the product -- but it's going to be a substantial loss.
     
  16. macrumors 6502a

    #16
    One thing starting to hurt them, is that a lot of people who have iPhones or other smartphones- with more options- are starting to move away from satellite radio after subscribing for several years. Technology is starting to move past the "pay for straight up satellite radio" phase.

    I know, for example, now that I have an iPhone, there are many other options, almost all free as in $0. Podcasts that stream to the car over cellular, Pandora radio, of course the built-in iPod, Last.FM......the list goes on. I just cannot justify paying for Sirius any longer, and this is what I'm hearing from others too.

    There will always be a niche market for satellite, for people who don't have a cell phone with these options, but I don't think it's going to be nearly as big as they hoped.
     
  17. macrumors Core

    Dagless

    #17
    As a Brit who only uses DAB I'm quite surprised to hear people pay extra for optional radio alone.
    That said I know nothing of the radio infrastructure of the US.
     
  18. macrumors Core

    MacNut

    #18
    What is DAB?

    Satellite radio is coast to coast, if you listen to traditional radio you only get one station for about 100 miles. The signal is not always as strong and you have to deal with commercials. Satellite is pay radio, full digital. No commercials and a better selection of programing.
     
  19. macrumors 6502

    #19
    I love my Sirius.. The ads on regular radio just piss me off far too much, and since we can't get things like Pandora here in Canada (to my knowledge anyway) its the next best thing. I just hope no big changes come out of this...

    This is what I enjoy so much. I can drive to BC from Alberta without having to go hunting for a new station and did I mention I love no ads?
     
  20. macrumors Penryn

    Abstract

    #20
    Well that, and they have specialty stations that won't play the same songs as you do on your iPod. They'll also play new songs you've never heard of, and the artist and title of the song show up on the car's stereo display. That extra bit of information they provide is also very nice.
     
  21. macrumors 65816

    MooneyFlyer

    #21
    Yeah, I'm mostly in it for the unique content. I spend my time with O&A, CNBC, and baseball during long drives on Friday nights...
     
  22. macrumors 68020

    #22
    Until we have very reliable 3G cellular service, why would you want to have streaming Internet radio to your cellphone? The sound quality is not really that great, and given the quality of current cell service you'll will end up with a lot of dropouts.
     
  23. macrumors Core

    MacNut

    #23
    And how will you listen in the car?

    Cell phones are horrible with battery life, and the plans are too expensive.

    Cheaper to spend 15 a month vs 90.
     
  24. macrumors Core

    Dagless

    #24
    Ah that doesn't sound too bad then. It's completely different in the UK as you can imagine. There's a group of channels that are the same throughout the island and also local stations.
    DAB is just digital quality radio. Effectively just an MP3 stream.
     
  25. macrumors Penryn

    rdowns

    #25
    My car's deck can save a 10 second snip of songs you like as well as artist and title info for later purchase.
     

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