Sirius Satellite Radio Inc. chief Mel Karmazin earned himself a comfortable $32.2 million in 2007, according to the company's recent SEC 10-K/A filing. That's $2 million more than XM's executive management team, combined.

While Karmazin's base salary of $1.25 million did not change in 2007, the company awarded its CEO an $4 million bonus. The year prior, the company awarded Karmazin a $3 million bonus.

Add in other compensations, stock awards and option awards last year, and his total compensation package tops out over $32.21 million.

Compare this to XM Radio's entire executive management team - which includes the compensation paid to former-CEO Hugh Panero - and Mel Karmazin beats their combined total by $2.3 million.

[Form 10-K/A]

While speculation abounds about whether the upcoming Sirius Starmate 5 will have the capability to receive both Sirius and XM, there's one piece of the puzzle that was missed... the ability to receive A La Carte channels.

As a refresher: Sirius-XM have said that after merging, they would offer the first-ever a la carte packages in subscription media. These packages would allow subscribers to choose 50 channels for $6.99/month, or 100 channels from either Sirius or XM for $14.99/month. Additional channels would cost $0.25/each.

But a commenter on SiriusBuzz points to the Starmate 5's user manual, which gives a strong indication that this radio could indeed be the first A La Carte capable unit.

The section in question, Page 74 of the user manual (PDF), refers to the "My Channels" category, which "will show all of the channels contained in your SIRIUS subscription plan." The Starmate 5 user manual then goes on to describe that the "category heading bar will show the total number of channels your Starmate ST5 is subscribed to."

The manual also differentiates these subscribed channels from channels that are locked by the built-in Parental Control feature (which has been available on previous generations).

Below are select bullet points from the manual highlighting this:

• "If you try to tune to an unsubscribed channel the ST5 will display a 'Channel Unsubscribed' message."
• "The ST5 will not display channel information for any unsubscribed or locked channels."
• "The Memory and Song Seek functions... will only occur on subscribed channels."

Now, before we get all in a tizzy, it is also important to point out that the "My Channels" references in the Starmate 5's manual could be referencing the "select" packages and not true "a la carte" packages. As you can see in Sirius' post-merger channel lineup, there are  other programming packages that would limit the number of channels displayed on the unit, including a "Family Friendly" package, a "Mostly Music" package and a "News, Sports & Talk" package.

Even if that's the case, I still think this is an important development.

[via Orbitcast Forums]

"When the only tool you have is a hammer, then every problem begins to look like a nail."

- Abraham Maslow

In the world of statistics and research, methodology is paramount. That's pretty basic. If you're going to draw a conclusion from the polling of a sample, the methods you use to extract those answers had damn well better be solid. Because in the end, the way this data is gathered defines the final outcome.

And this is exactly why I say that the Arbitron ratings for satellite radio listening are wrong. Indeed, they're bullshit.

Maybe that was a bit harsh, I'm sorry. Let's instead say that these ratings are for "information purposes only," because that's how Arbitron refers to them.

Mind you, the criticism that's about to ensue has absolutely nothing to do with terrestrial radio and how its listenership is measured. That's a whole different issue. This is meant to point out the flaws in how Arbitron measures satellite radio listenership and nothing more. So when I say that "Arbitron's ratings are wrong" I mean for Sirius and XM, and not regular radio.

So let's begin.



Reason #1
The Arbitron Diary.

Actually, it's the methodology for terrestrial radio ratings that's screwing it all up. Arbitron's diary is built from the ground up to measure AM/FM. Not Internet Radio. Not Satellite Radio. Not even HD Radio (that is, if anyone was listening to HD Radio). It's meant for good ol' regular radio and nothing else.

Here's a big problem: There is no checkbox for a listener to select "Satellite Radio." None. Nothing for Sirius. Nothing for XM. Nothing. Diarykeepers need to actually physically write in the service and the channel info, in addition to the time they started and stopped listening to the program as well as the location of where they did this. Do you think people will actually write in all that information? Right there, the data becomes tainted.

Follow the jump to keep reading...

The meetings at the FCC continue occur as we rapidly approach the May 1st deadline for the extended merger agreement between Sirius Satellite Radio Inc. and XM Satellite Radio Holdings Inc. This time, the National Association of Broadcasters is the latest group to enter the fray.

NAB President and CEO David Rehr (pictured) and NAB Executive VP of Legal & Regulatory Affairs Marsha MacBride, met with FCC Commissioner Michael Copps and his Senior Legal Advisor/Media Advisor Rick Chessen last Friday, according to a FCC filing.

At the meeting, Rehr and MacBride argued that a merged Sirius-XM will "harm consumers" as well as "undermine fair competition in local radio markets."

The NAB stuck to the same stale argument from over a year ago that approving the merger would "violate the Commission's long-standing prohibition against a merger of the nation's only two satellite radio licensees" that the FCC needs to be mindful of Sirius and XM's "record of violations of the Commission's rules."

How much longer does this need to drag on? Seriously. I think we've exhausted all the angles and it's time to make a decision. Nothing new is being added that hasn't already been said.

[View FCC filing (PDF)]

Yesterday, Arbitron released its Fall 2007 ratings for Sirius Satellite Radio and XM Satellite Radio. Below are some key takeaways from the ratings report, but check back later when I explain why Arbitron's ratings are all wrong (well, for satellite radio at least).

Overall, Arbitron reports that XM leads Sirius in listeners, 10.4 million versus 7 million respectively. Combined, there were approximately a half-million more satellite radio listeners in the Fall than in Spring 2007 when Arbitron last released its satellite radio ratings report.

Here's a breakdown of the Top 5 channels (in terms of "cume" - or the total number of unique listeners) from both Sirius and XM:

Sirius Ratings -

1. Howard 100: 1,210,000
   
2. Sirius Hits 1: 584,800
3. Howard 101: 501,000
4. Sirius New Country: 468,300
5. Sirius Big 80s: 417,900
6. Sirius Octane: 383,700
7. Classic Vinyl: 347,100
8. Classic Rewind: 335,500
9. The Pulse: 330,700
10. Totally 70s: 309,400

XM Ratings -

1. Top 20 on 20: 1049200
2. Flight 26: 741600
3. 80s on 8: 698300
4. 70s on 7: 667400
5. 60s on 6: 581300
6. Highway 16: 579500
7. Top Tracks: 534900
8. The Blend: 532400
9. The Heart: 493400
10. Fox News: 464800

For those that want to compare how the "shock jocks" line up, Opie & Anthony's The Virus channel had a cume of 171,300. For a comparison of AQH (Average Quarter-Hour), which is the average number of people listening for at least five minutes during a 15-minute period, here's how the three channels compared:

• Howard 100: 97,600 AQH
• Howard 101: 33,200 AQH
• The Virus: 18,500 AQH

So there's the numbers, and numbers don't lie... or do they?

Check back soon when I explain, in detail, why Arbitron's numbers - for satellite radio ratings at least - are all wrong.

[Arbitron Fall 2007 Satellite Radio Ratings (PDF)]

Attorneys General from Maryland, Connecticut, Ohio and Washington - who all greatly oppose the Sirius-XM merger - feel they have found the answer to preserving competition in satellite radio: offer it for free.

This revelation was uncovered in a recent letter (PDF) to FCC Chairman Kevin Martin, where the state Attorneys General suggest that the Federal Communications Commission lease a portion of Sirius and XM's bandwidth to a 3rd party. And that leased portion, should be made available, for free.

Does this plan sound familiar?

Radio & Records nicely sums it up for us, "the only entity that has made a pitch to lease satellite spectrum from a combined Sirius-XM is Georgetown Partners."

R&R adds that should the deal win approval, Georgetown Partners "would be willing to take a long lease on the spectrum and form a free, commercial-based satellite radio company," which it promises "will be richly diverse."

It's so nice to see these AGs coming to the rescue.

[View letter (PDF) via Radio & Records]
Thanks Nathan!

New Citi analyst Tony Wible issued a client note this morning, assuming coverage of the satellite radio industry with a "Buy" on Sirius Satellite Radio Inc. and a "Hold" on XM Satellite Radio Holdings Inc.

"Satellite radio should continue to change the audio entertainment industry and gain share as its proves to be fresh (no need to create play lists or buy MP3s), original, cost effective, and a simple way to access premium/long tail content that can not be supported via radio or MP3 models," wrote the Citi analyst in the note. "Given the highly fixed cost base of the companies, we view the sub growth as the key driver of the stocks and we see the industry having up to 55 mil subs by 2011."

Wible also rated SIRI as a "Buy" with an $8 target based on a 70% probability that the deal closes. He rates XMSR with a "Hold" with a $12.25 target price.

The Citi analyst believes that the SIRI stock - as a merged entity - would be worth $10.

The holes in the New York Post's story about a supposed sex tape featuring Opie's fiancée Lindsay (pictured above) and Bam Margera are widening... a lot.

Chaunce Hayden - who was quoted in the Page Six article as saying  "They're doing the nasty - and I mean nasty" - amazingly admitted to FMQB yesterday of actually never having seen the video. Apparently, he based his entire account of the contents of the video on the word of a single disgruntled ex-employee of the Opie & Anthony show.

"If that doesn't show that Chaunce has some sort of agenda, I don't know what else to tell you," said Opie on their show this morning.

The smoking gun was revealed this morning when Bam Margera himself called into the Opie & Anthony show, and denied that the sex tape exists.

"I think it's nonsense... if I filmed it, I filmed it myself. I never even heard of those dudes," said Margera referring to the ex-employee who supposedly bought the rights from Bam. "I would pay $100,000 to see it myself."

The conversation continued on to discuss how ridiculous and unsubstantiated the claims made by the New York Post were.

Opie thanked Margera for setting the record straight, "You're a stand up guy Bam. I greatly appreciate you coming forward... I just appreciate that someone did the right thing for once."

"I totally 100% believe that it's not true, and I'll match you on the 100-grand," added Margera.

Opie & Anthony even were more than happy to plug Margera's show on Sirius Faction (ch 28) which airs 7-8pm on Mondays.

The sad part is that the New York Post obviously didn't even bother to verify the story by simply contacting Bam Margera. The fact that Page Six even quoted Chaunce Hayden's account of the contents of the video - when he didn't even see it - is truly a lapse in journalistic integrity.

But then again, "Page Six" and "integrity" aren't necessarily synonmous with each other.

Photo Credit: Speaking of integrity, I don't know who took the above photo but it's the only photo of Opie's fiancee that I know of. So if you're took it, please contact me so I can give attribution.

The fan favorite Sirius Starmate 5 (ST5) satellite radio receiver has landed in the halls of the Federal Communications Commission, giving us a sneak peek into what's to come, albeit accompanied by some not-so-sexy FCC testing photos.

According to the FCC submissions, the Starmate 5 will feature:

• Sirius Replay: Pause/rewind/replay up to 44 minutes of live radio
• Memo function: Store up to 30 favorite songs and artists, plus a favorite sports team or NASCAR car, and be alerted whenever they're on.
• Wide-angle 5-line display
• Built-in wireless FM transmitter
• Remote control
• Universal dock
  

Reading through the product manual (PDF), it doesn't look like the Starmate 5 will feature the same multi-color display functionality that it's big brother the Sportster 5 enjoys. That's unfortunate, because I love the color-changing capability.

One interesting thing to note, though, is that there's some question as to whether this radio will be capable of receiving both Sirius and XM due to a comment made by the FCC in its correspondence with the testing firm. Judging from all the documents submitted to the FCC, there is no other mention of dual-mode/interoperable functionality, so I don't think this is the case.

But see for yourself. Check out another photo of the Starmate 5, and read the correspondence letter after the jump...

There's nothing like a good ol' sex tape scandal to wake you up in the morning. The New York Post's gossip column Page Six published an article claiming that Gregg "Opie" Hughes is livid over a sex tape featuring his fiancée, Lindsay, and Bam Margera, sourcing a "disgruntled ex-employee of the radio duo."

During this morning's Opie & Anthony show of Opie categorically denied the story's veracity and offered $100,000 to anyone who can produce the tape.

Below is an excerpt from the New York Post article:

Gregg "Opie" Hughes is said to be livid over an X-rated romp starring his stunning blond fiancée, known by her first name, Lindsay, and MTV wildman Bam Margera. A disgruntled ex-employee of the radio duo recently acquired rights to the video from Margera and it's soon to be released on a pay-for-play Web site, reports Steppin' Out's Chaunce Hayden. "They're doing the nasty - and I mean nasty," Hayden says. "Hughes is taking legal action to prevent its distribution. Apparently, he's so distraught, he's banned the name 'Bam' from being mentioned on the show." Hayden says Lindsay was living in Philadelphia, Margera's stomping grounds, when she met him and made the tape "to gain some exposure." This was before Lindsay began dating Hughes.

But Opie denies that a tape exists and that he has even sought out legal action - pointing out that any legal action would be public record and that no such record exists.

In addition, Opie offered $100,000 to anyone who can produce a copy of the sex tape.

Listen to Opie talk about the sex tape below:

[Watch on YouTube]