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

[MacNut]

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.

In the US we have radio markets. about 250 in the country, each market has about 10-30 stations. They get a broadcasting power of about 75 miles. When you reach the end of the market you get bleed through between stations.

We have companies that own a bunch of local stations all over the country and they tend to consolidate programing. You can hear a lot of syndicated shows all over so you do get overlap.

This is the list of radio markets.

 

[EricNau]

. . . 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.

The same can be done over traditional FM radio.

 

[MooneyFlyer]

Well, now the news is saying that SIRI is in talks with Liberty.
Maybe I'll be glad a bought a few shares today... but I doubt it.

 

[Abstract]

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

Spoiled Acura owners.

 

[SpaceKitty]

I bought my 09 Chevy in September and it came with XM. It's all I listen to. I hope they survive.

 

[hexonxonx]

Sirius XM is hoping DirecTV may want to merge:

http://www.necn.com/Boston/Business/2009/02/12/Sirius-talking-Direct-TV/1234439114.html

 

[waffle911]

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.

I presume you would listen to it in the car via a connector, like an iPod connector, which would also charge it. For the sake of being universal, there could be a set standard using USB that would allow all USB-enabled phones that support streaming content to act as a radio receiver, which the actual radio head unit could control. Or, the connection could just be bluetooth and you would use a regular 12V adapter for your phone in your car... as you probably should anyway. Or maybe wireless charging will evolve enough to become useful in the near future.
Also... if you are already paying for unlimited data, you might as well use it instead of paying an additional $15/mo. for an additional/superfluous service which could be handled by your existing cellular device.
Granted, cellular technology still has a ways to go before it is ready to cope with reliable streaming HD radio. Maybe by the time they roll out with 4G or 4.5G, the infrastructure will be ready. By then, it will also be much cheaper. Actual voice services would probably be handled over the internet as well.

 

[Koodauw]

I am a huge fan of Satellite radio. I hope it makes it through. Although I did like it better when it was just XM.

 

[yg17]

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.

We have something like that, called HD Radio, which is free, but the stations aren't the same cross country. Much like traditional FM radio, the range is about 100 miles or so from the transmitter.

Sirius uses satellites that cover pretty much all of North America. I've been a subscriber for about 5 years now and I love Sirius. It's great for the morning commute or when you're taking a road trip across the country

 

[MacNut]

Update:Sirius Gets Lifeline From Liberty Media; Shares Double

CHICAGO (Dow Jones) - Shares of Sirius XM Satellite Radio as much as doubled Tuesday morning on news that John Malone's Liberty Media has agreed to invest a total of $530 million in the the beleaguered radio company, allowing it to avoid a Chapter 11 bankruptcy filing.

Sirius XM (SIRI) shares were up 7 cents, or 71%, at 18 cents, in mid-morning trading.

For Malone, who is expected to take a seat on Sirius XM's board of directors, the deal has the added benefit of slamming the door on the plans of rival Charlie Ergen, chairman of EchoStar (SATSV) and Dish Network (DISH), who had also been in negotiations with the satellite radio provider. Malone and Ergen have been butting heads for many years, going back to the 1990s when Malone ran Tele-Communications Inc.; TCI was the biggest U.S. cable provider at the time.

Under the first phase of the transaction, Liberty (LCAPA)(LMDIA) will loan Sirius XM $280 million -- $250 million of which will be funded on Tuesday. Sirius XM will use some of the proceeds of that loan to pay $171.6 million of the $175 million in 2 1/2% convertible notes that are due at the end of business Tuesday.

Liberty's loan to Sirius XM will bear interest at a rate of 15%, and will be due in December 2012. It will be secured by the assets that secure Sirius XM's existing credit agreement.

In the second phase of the deal, Liberty will loan another $150 million to XM Satellite Radio, Sirius XM's wholly-owned subsidiary. Liberty has also agreed to offer to buy up to $100 million of the loans outstanding under XM's existing debt agreements.

Once both phases are completed, Sirius XM will issue Liberty 12.5 million shares of preferred stock, which Liberty can convert into 40% of the company's common stock. Liberty Chairman John Malone and Chief Executive John Maffei would then join Sirius XM's board of directors.

http://money.cnn.com/news/newsfeeds/articles/djf500/200902171227DOWJONESDJONLINE000571_FORTUNE5.htm

 

[rhett7660]

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

Imagine that..... Wonder what Howard Stern is saying about this!