If these numbers are correct, and given XM's history regarding delaying the disconnection of customer radios in order to present more favorable financial and subscriber data, I think that's great. However, analyzing past financials and publicly reported data, the increase in Gross and Net OEM subs is not a particularly positive, given the revenue share sections of the parties' agreements. A rough calculation is that XM has to write a check to GM for close to $30M EVERY MONTH, if not more. GM gets a piece of every "activated radio" regardless of when the radio was installed in the car, and keeps getting it regardless of howmany times an XM equipped car gets sold and resold on the used car market. I'm not sure how the Toyota and Honda agreements are structured, but I would suspect that it is rich for Toyota and Honda, as well.

Essentially, XM is indebted to the car companies who have come to view their arrangement with XM as a revenue stream. A rough calculation leads me to believe that under current trending, XM will soon be paying almost 1/3 to 1/2 of its total subscription revenue to the car companies. Add that the the CRB payments and ever increasing marketing expenses, not to mention just paying the electric bills and payroll, how can XM ever generate a profit?

I hope that XM employees can buy GM cars at GM employee pricing. They really are making some nice metal these days.

The same way Sirius is, they aren't. I give these companies 2 years tops. And a merger isn't going to help.

There is nothing in the Gm agreement stating that used Gm vehicles with Xm pay a revenue share. Only new enabled Xm vehicles and those targeted by and contacted by Gm for Xm service, 12 months after being sold are entitled to the revenue share.

If a person buys a used Gm car that has Xm in it and they activate it, Gm does NOT get a revenue share on it. Nor will Gm even know that the radio is even activated.

Look it up for yourself.

There is nothing in the Gm agreement stating that used Gm vehicles with Xm pay a revenue share. Only new enabled Xm vehicles and those targeted by and contacted by Gm for Xm service, 12 months after being sold are entitled to the revenue share.

If a person buys a used Gm car that has Xm in it and they activate it, Gm does NOT get a revenue share on it. Nor will Gm even know that the radio is even activated.

Look it up for yourself.

Sorry to say it, but you are wrong. EVERY GM WITH XM (ACTIVATED) CAR FOR EVER AND EVER is revenue to GM.

Ask XM management to say how much in monthly revenue share goes to GM. Then tell me I'm wrong.

WRONG WRONG WRONG

Go look it up. Prove me wrong. Show me where in the distribution agreement it says that used Gm vehicles activated that were not targeted by Gm, are entitled to a revenue share.

You wont find it, because only new enabled vehicles and those contacted later by Gm are entitled to the revenue share.

Nice try sat rad fan boys, but wrong again! i will stop at nothing to get rid of satellite radio! it is a virus that must be stopped so my friends at FM radio can breathe easy and not worry about better alternatives! The "merge" monopoly must be stopped and there is nothing you blind ignorant fans can do about it! i have nothing better to do....im dateless and i am a loser!!!! i have plenty of time on my hands!!!!!!!

NO! to "merge" MONOPOLY!
YES! i am a loser but a loser with a working FM radio in 20 years!~!!!!! HAHAHAHA!!!!

I say again, prove me wrong. Even if I could reach Xm management, there would be nothing to stop me from lying about what they tell me. But you can prove me wrong right now with public documents. The Gm distribution agreement is easy to find. Look it up, find where it says that used Gm vehicles with Xm, entitle Gm to a revenue share. I cant prove you wrong, but you very much can prove me wrong.

You wont find it, because it isnt true. Only new enabled Gm vehicles, or those that are targeted and contacted by Gm 12 months after sale are entitled to a revenue share. Gm vehicles with Xm that may be purchased in a private sale that later has its Xm radio activated is not entitled to the share. Nor would Gm even know that the receiver was ever activated again.

So bring it on, prove me wrong.

Don't get yourself worked up in a frenzy. As I read this it sounds like you're about to start crying. Relax there, killer. No need to get worked up about this.

LINK:

http://209.85.215.104/search?q=cache:qeYfsKJlRHoJ:sec.edgar-online.com/2007/05/03/0001193125-07-099825/Section10.asp+GM+revenue+sharing+XM&hl=en&ct=clnk&cd=2&gl=us

TEXT:

We must also share with GM a percentage of
the subscription revenue attributable to GM vehicles with installed XM radios,
which percentage increases until there are more than eight million GM vehicles
with installed XM radios (at which point the percentage remains constant).
Accordingly, the revenue share expense is recognized as the related subscription
revenue is earned. As of March 31, 2007, we have $45.0 million of current
prepaid expense to related party and $12.3 million of non-current prepaid
expense to related party in connection with this revenue sharing arrangement. As
part of the agreement, GM provides certain call-center related services directly
to XM subscribers who are also GM customers for which we must reimburse GM. The
agreement is subject to renegotiation at any time based upon the installation of
radios that are compatible with a common receiver platform or capable of
receiving Sirius Satellite Radio's service. The agreement was subject to
renegotiation in November 2005, and will be subject to renegotiation at two-year
intervals thereafter, if GM did or does not achieve and maintain specified
installation levels of GM vehicles capable of receiving our service. The
specified installation level of 1,240,000 units by November 2005 was achieved in
2004. The specified installation levels in future years are the lesser of
600,000 units per year or amounts proportionate to target market
shares in the satellite digital radio service market. There can be no assurances
as to the outcome of any such renegotiations. GM's exclusivity obligations will
discontinue if, by November 2007 and at two-year intervals thereafter, we fail
to achieve and maintain specified minimum market share levels in the satellite
digital radio service market. We were significantly exceeding the minimum levels
at March 31, 2007. For the three months ended March 31, 2007 and 2006, we
incurred total costs of $61.3 million and $56.9 million, respectively, under the
distribution agreement.

Looks like nobody is sure how the GM deal works.

As far as this (a loser with a working FM radio in 20 years!~!!!!! HAHAHAHA!!!!) i doubt analog radios will be around for long.

They are killing analog TVand radio is next.
Millions of people will not be able to get any TV after the switch next Feb.

Some people will get more junk channels but many will have no way to get any TV AT ALL.
I KNOW MANY PEOPLE THAT IT WILL HAPPEN TO.

For what it is worth i went to Circuit City and the sales guy did not know what a HD radio was?

That tells me they are going to set a death for analog Radio date if they want all Digital radio.

That would be great for sat radio.

That says nothing about used Gm vehicles and when you read it in context, it refers to Gm customers. USED Gm vehicles is the topic of discussion, not vehicles purchased by Gm customers (off of a Gm lot).

If you buy a used vehicle in a private sale, are you a Gm customer? No, you are not. And no, you will not receive any services from Gm. You are not entitled to any Gm services because the vehicle is not a certified Gm sale.

Gm customers are those that buy directly from Gm. It is those customers that Gm is entitled to a revenue share with. Gm gets a revenue share via new enabled Gm vehicles and others that Gm targets after 12 months, or by sales on their lots.

Gm is not entitled to share revenue from a 5 year old receiver, for example, in a car that has been sold 3 times in private sales that later has the Xm receiver activated. Not unless the vehicle is sold on a Gm lot, making the buyer a Gm customer.

I say again, prove that all "used" Gm vehicles entitle Gm to a revenue share. So far you have not proven anything, other than that you can pull a paragraph out of context from the agreement.

You are a F'ing puss^. The agreement is clear as can be - I am not wasting anymore time with you below 70-IQ morons, who the Supreme Court says can't be executed because you're too stupid. I'm sure your stupidity is not your fault. You were probably delivered after a botched partial birth abortion - after the dr. put the scissors in your brain.

There's the link and the text. Read it anyway you like - I'm telling you what the facts are.

howard said so,it must be true