The NAB has filed a Reply to Opposition (PDF) with the FCC disputing Sirius-XM's proposed A La Carte packages.

But the notable part doesn't lie in the filing itself, rather in the fact that comments posted to Orbitcast are actually quoted in the filing. So before we continue, let's give a full round of applause for Joe, Flap Jackson, PFreak, JohnG, and Mr. FancyPants.

I think it's a testament to the strong community here, and the encouraged open format for accepting opposing views. That we'd ever see the ridiculous medley of screennames actually being cited in an FCC filing is deserving as well.

Satellite Radio TechWorld puts it perfectly, the NAB has just "immortalized" the commenters here with this filing. It's proof positive that they read, not only what I'm writing, but what you are writing.

And that's the most important of all.

[Satellite Radio TechWorld] 

Sirius Satellite Radio's music/action-sport lifestyle channel, Faction (ch 28) will be live from the Summer X Games all this week with exclusive shows hosted by Tony Hawk and Jason Ellis.

BMX pro Mike 'Rooftop' Escamilla will also host a special X Games edition of "Hostile Takeover" (that's Faction's weekly guest DJ show). 'Team Faction' will be backstage and behind-the-scenes throughout the week with complete coverage and special guest interviews.

Check out the full schedule after the jump...

I've been getting reports from readers that they're having troubles accessing the site. Not good.

I'm yelling at working with my current host to get this resolved (I'm almost 100% sure they're messing with me ever since we destroyed their servers when XM's satellite went down). And at the same time, I'm also in the process of migrating to a different, more robust, hosting platform.

Anyway, for those of you who can only access the site momentarily or can only hit the site when at home, here's a couple tips to stay up-to-date with the latest from The O.

1. RSS Feed - tried and true, you can always subscribe to Orbitcast using this the handy-dandy feed. Here, I'll even give you a big shiny icon to click:
   
   
   Click me to subscribe
   
   
   (Purty isn't it?)
   My personal favorite RSS reader is Google Reader, but there's tons of others like Bloglines, My Yahoo, etc.
   
   
2. Email Updates - Some peeps just don't like RSS and rather stick to good ol' email. That's understandable, so if you want to receive The Orbitcast Daily Update, just click on this link. You'll receive an email every morning recapping the events of the prior day.
   
   Subscribe to Orbitcast by Email
   
   
3. Twitter - This won't help you read the actual entries, but you can be notified of the latest Orbitcast headlines on Twitter. If you activate your cellphone, you can receive a text message whenever a new post has been added to the site.
   
   Follow Orbitcast on Twitter

Overall, if you need an instantaneous fix, your best bet is the RSS feed, but I'm trying to help out in anyway I can while I battle it out with my host. I do apologize for this, and trust me when I say that I'm working on it as best as I can.

Oh sure, there's a merger going on so everyone's one big happy family right? Not exactly. Everyone still wants to see how Sirius' and XM's satellite radio subscribers are stacking up against each other.

So here's some charts and numbers using the latest subscriber information to break it all down for you.

Total Satellite Radio Subscribers:

Sirius Satellite Radio: 7,142,538
XM Satellite Radio: 8,250,000

The above chart shows the total cumulative subscribers starting from the fourth quarter of 2001 and how both Sirius and XM subscribers have grown comparative to each other.

Quarterly Net Subscribers

Sirius Satellite Radio: 561,493
XM Satellite Radio: 338,000

Here you can see how Sirius and XM have added NET subscribers on a quarterly basis, going back to 2005. For the seventh consecutive quarter, Sirius has beaten out XM in net satellite radio subscriber additions.

Quarterly Gross Subscribers:

Sirius Satellite Radio: 1,002,145
XM Satellite Radio: 942,000

This chart shows the quarterly GROSS subscriber additions between XM and Sirius. I find that gross subscribers are a very important metric to track, because it eliminates variables (like churn) and shows the true market penetration. For the third consecutive quarter, Sirius has outpaced XM in gross subscriber additions. This even beats out the "Stern Effect" from last year.

Orbitcast is once again live blogging the Sirius Satellite Radio 2Q07 earnings conference call for those who can't tune in or who just want to read. Just keep hitting that 'refresh' button as I'll be updating this post frequently.

So let's begin:

• Listening to hold music (drinking coffee)
  
• OK! Should be starting shortly
• We're starting now... Scott Greenstein is traveling and will not be on the call

Sirius Satellite Radio (SIRI) announced their 2Q06 earnings results, showing a 51% increase in revenue year-over-year to $226.4 million, and strong subscriber growth of 561,493 new subscribers during the quarter.

Sirius ended the quarter with over 7,142,538 subscribers.

During 2Q07, Sirius added 561,493 net subscribers, comprised of 129,843 net additions from retail/aftermarket channels and 431,650 from the OEM channel. Sirius captured 62% of satellite radio segment share, marking the seventh consecutive quarter of leading subscriber growth in satellite radio.

Total revenue increased to a record $226.4 million, up 51% from $150.1 million YoY. Advertising revenue was $9.2 million. ARPU was $10.71. SAC was $108 for the quarter compared to $131 for the same period last year.

Sirius' net loss improved by 44% to ($134.1) million for the, from ($237.8) million for the same period last year. The adjusted net loss for second quarter 2007 (adjusted to exclude stock-based compensation) improved to ($117.1) million down from ($159.6) million for Q2 2006.

2007 Guidance:

• Total revenue approaching $1 billion
• Over 8 million subs
• Avg churn to 2.2% - 2.4%
• SAC approaching $100

The NAB has launched a radio ad campaign on some local DC-area radio stations against paying performance fees. The performance fees would require terrestrial radio stations to pay the same royalties that Internet and Satellite Radio pay.

The radio ad, which can be heard by clicking here, contains so many ironies that it truly borders on comedy. Please give it a listen so you can feel the same rage I feel right now.

Yes, welcome to the hypocrisy that is the NAB.

Notice how they position themselves as small "local" radio stations? That they're the ones fighting off the big-bad music giants? I hope that those in Washington see through this line, because it's the same one they're using against Sirius and XM. And it's complete bullshit.

Even the stations this ad is airing on are owned by big radio conglomerates: WMAL-AM (Citadel), WTNT-AM (Clear Channel), WWRC-AM (Clear Channel) and WTOP-FM (Bonneville). Wait, how's that "local" thing work again?

If anyone has a monopoly, it's terrestrial radio. They enjoy government protected localism, a free ride on performance royalties, and over the last 10 years the NAB has spent $55 million in lobbying expenditures to protect these "rights."

Yeah, poor radio.

[Listen to the audio via the NAB] 

The Parents Television Council (PTC) has once again publicly praised XM and Sirius satellite radio for the proposed A La Carte pricing as well as their "family-friendly" packages offered as a benefit of the two companies merging.

"This announcement by XM and Sirius constitutes the best set of parental controls we’ve ever seen to not only prevent children’s access to adult-themed programming, but to enable the marketplace to decide what it wishes to purchase and pay for," said PTC President Tim Winter.

"If the merger is approved and satellite radio gives its customers real choice in programming, it will be a groundbreaking moment for the future of subscription-based entertainment," Mr. Winter continued.  "There is no question that greater control of graphic content, combined with giving consumers the ability to have some control over packages and pricing is in the public interest and certainly in the interest of parents and families."

These are some hefty words, considering that the PTC is arguably the single biggest influence on indecency regulation in America. The PTC regularly launches massive campaigns to file complaints with the FCC over content they deem to be 'indecent' broadcasts.

"We call upon the cable and satellite television industries to follow the lead of XM and Sirius and give real choices to their own customers who are deeply offended by many of the channels families are forced to buy just to get access to the quality family programming available on cable," said Mr. Winter.

This isn't the first time the PTC has come out in favor of the merger thanks to the "block and rebate" programs. But the repeated strong show of support must have some weight with regulators. I'm not sure which group is more annoying to the folks over at the FCC: the NAB or the PTC?

From a personal standpoint, and as a parent myself, the best 'regulation' can also be called 'parenting.' (Crazy thought right?) But regardless, I really do agree with this final statement by Mr. Winter.

"Only a meaningful solution like this one will allow the marketplace to decide for itself what it wants and what it is willing to pay for."

And that's the truth.

Starting tomorrow, the new Dave Matthews Band "Live Trax" CD will be exclusively available at Starbucks locations throughout North America. The CD features recordings of Dave Matthews Band performances dating back to 1995.

As part of the launch, XM and Starbucks are kicking off a promotion to support the "Live Trax" release and to introduce customers to the newly re-launched Starbucks music channel on XM, Starbucks XM Café (Ch 45).

From July 31st through August 31st, Starbucks will offer customers the chance to win tickets, passes and a meet and greet with Dave Matthews at The Hollywood Bowl on October 2nd, among other prizes. All you have to do is sign up for a free trial of XM Radio Online.

Complete details will be available online starting July 31st (pssst, that's tomorrow, so don't click the link yet).

In addition to the in-store sweepstakes, XM will air special Dave Matthews Band programming on the Starbucks XM Café channel with special episodes of the music show "The Daily Grind," highlighting songs from the new album throughout the week.

"The Daily Grind" can be heard weekdays at 3pm ET on the Starbucks XM Café channel, with encores airing weeknights at 1am.

Dave Van Dyke, president of Bridge Ratings, yesterday wrote a fascinating entry in a recent blog post about the Sirius-XM merger and his personal take on its chances.

In it, he discusses how Bridge's research shows that sentiment for the merger has leaned more towards the positive side for current subscribers - but that non-subscribers still don't like it. This shows that Sirius/XM have done a good job of marketing the merger - internally. But that's hardly the interesting stuff in Van Dyke's post.

The meat and potatoes comes further into it, when he points that the NAB has essentially proven Sirius-XM's point about whether terrestrial and satellite radio compete.

"In the case of the NAB and Mr. Rehr in particular, he doth protest too much."

"...Mr. Rehr has firmly crystallized Mr. Karmazin's point that a merged satellite company is not a monopoly..."

Youch!

It's no secret that David Rehr has reluctantly become the champion for the Sirius-XM merger, but to hear it from someone within the radio industry? That's impressive. This isn't coming from a nattering blogger waving the Sirius-XM pom-poms (or even rogue bloggers who are trying to wake up the radio industry). This is coming from the head of a research firm that terrestrial closely follows.

"Was the approval of this merger terrestrial radio's to lose? I think so. The strategy was wrong. The NAB made the case for the other side."

The problem for Rehr and crew is that Dave Van Dyke is completely correct. But they've embarked down a path that is impossible to back out of. The damage is done. The NAB has no choice but to continue fighting as hard as they can (though they really do have bigger fish to fry). And the more they fight, the more they prove the opposing side's point.

[Navigate the Future]