FCC Commissioner Jonathan Adelstein, one of the two Democratic members of the FCC, spoke with NPR yesterday and gave some insight into the timing of the Sirius-XM merger decision.
During the interview on NPR's "Talk of the Nation," which focused primarily on the recent media consolidation ruling, Adelstein indicated that the DOJ's decision could be coming "shortly" and that the FCC's own decision would come in the first quarter.
"We’re hearing that action could be coming shortly but I don’t want to predict for sure, and then sometime after that presumably the FCC would act," said Adelstein in response to a caller. "I think probably in the first quarter of next year."
Of course the FCC Commissioner is using all the safe-words, but it's the first solid indication of timing - aside from various analysts' DC contacts - since FCC Chairman Kevin Martin said a decision would be coming in Q4. Adelsteins comments also coincide with a report from RBC's David Bank, which indicated a DOJ decision by the end of the year, and an FCC decision in February.
Listen to the audio snippet below:
(Duration - 1:27)
wow--that last comment that they are seeing who they compete against"whether its against someone whisling down the street" makes that sarcastic remark obvious that hes made up his mind already against the merger--Probably no surprise but its so pathetic politics rules the day on important decisions and not whats in the best interest of the consumer
Same song, diferent record!!!! Just do it, yea or nah!!! SH** or get off the pot!!!
--Probably no surprise but its so pathetic politics rules the day on important decisions and not whats in the best interest of the consumer
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True and missguided. Politics influence in stuff is pathetic
But how does a merer benifit any consumer? the cheapest offering where there will be a "Best of" 40 or so channels is the Same price as what I pay now for the FULL XM service.
More music channels? Do you really think thats going to happen? With the didgital performace price going up it will cost more for each station. It now makes more sense to eliminate simmilar statios from each service.
Really How the hell does this merger make sense for the consumner? Both companys have stated they are fully funded and not in danger of having to close the doors. So, what makes the merger a good thing?
What benifit will there be to the consumer? more options? like what? get a multi year plan now in both services and you have it all for less than what they will offer in 2 years. How is a merged company better for the consumer?
>> How is a merged company better for the consumer?
This is the big problem with the entire merger scenario. Somehow, Satellite Radio has convinced a significant portion of the public (as well as a number of politicians) that a monopoly is BETTER for satellite radio.
When any of these people are asked, "How does a monopoly in satellite radio benefit YOU?", the only cogent reply they can muster is that "by merging you get SOME satellite radio -- if they don't merge, they'll both go broke."
The problem with that argument is that both companies have explicitly claimed it is a false argument. So, why are we going to give these guys a monopoly based on a rationale that they BOTH say is not factual?
It just makes no sense.
"The decision will be coming shortly"
Translation: We still have no idea when we will decide. We love keeping consumers in suspense and annoying them in any way possible.
dont get it..every other company merging are getting greenlights like Google-Doubleclick. These 2 ducks may probably need the president to sign off on (Like its a matter of national security). Cmon and just give us a decision already!
I wish they would just decide as you know this is killin both companies holiday sales.
I am a sirius sub who just wants bob dylan and a little baseball, been holding out on buying a inno until the decision, wonder how many are in the same boat?
@ Stack: The problem with that argument is that both companies have explicitly claimed it is a false argument.
would you expect both companies to come out and say that they are doomed to fail if they aren't allowed to merge? hardly.
considering the above, there are two clear signs that point towards both companies being completely f'd to failure if the merger fails:
1) the question of each firm's financial viability was even brought up in the first place
2) the question of each firm's financial viability was definitively answered in reply
the mere point that #1 occured illustrates that the ship isn't sailing right, and by answering in #2, SIRI/XM implicitly confirm that #1 is reality...if it wasn't an issue, SIRI/XM would have pulled at Drew Rosenhaus; "next question..."
A monopoly in Satellite radio is a bit ridiculous to me. You can segment any market to the point that you create a monopoly. The issue isn't delivery, the issue is service. Music, radio, entertainment is the service. The numbers show that rural customers aren't reliant on satellite radio to receive these things. Urban customers are even less reliant.
If Satellite Radio were to disappear completely, the consumer wouldn't lose access to anything substantial, no matter how much we like Theme Time Radio, Stern, or any other programming.
The public thinks the merger is important and crucial to the survival of sat radio because the FCC or NAB said it themselves..."They are looking for the government to bail them out due to excessive spending." So thats basically why the majority of the public thinks that way...wethere true or not...
Secondly...People pay for both services, thats why to some it could be beneficial. If you want the full sports package, oppie and stern, etc you will need to buy xm and sirius.
thrid...I dont listen to every channel on sirius, i really only listen to 15 stations. So it would be beneficial to people like me and im sure there alot, who only take advantage of select channels. Why pay for channels i dont use.
Finally, how are you going to argue that having a consolidated company who have competed with one another since the begining will not be beneficial to the growth of the company. Technology can not only branch out but it will do so faster. More satelites means more capabilities. More resources means better growth. Its basically like two army;s fighting together to win a war...
The truth is down the line this consolidation could be dangerous because they will truely have alot of power in the media spectrum. Especially if this thing grew into southamerica and more of canada adapted it. Eventually who knows how big it could get. I think they need teh merger now and should be regulated down the line or broken up.
Sure, they'll have a monopoly on transmitting their service via satellite (if you don't count Slacker), but they're barely making a dent on what the consumer is buying on the other end. Customers aren't in the market to purchase "audio via satellite", they're just in the market for "audio". At the consumer's end, does satellite radio really have a monopoly on anything other than Howard Stern?
My biggest fear is "State run radio" where both companies want the merger soooo much that they give up the farm to the government. The word Decency surfaced a couple days ago in relation to this merger and it sent a chill up my spin. If you thought terrestrial radio was a watered down wastland wait until you see this beast!
If it isn't passed by quitting time tomorrow, the DOJ will be after the first of the year as well.. yes there are three days next week but do you really think anyone will come in to debate this elephant over those three days?? guess again...