David Rehr at Sirius/XM Merger Judiciary Hearing
David Rehr, president of the NAB, testified in front of the House Judiciary Committee antitrust task force. He had five main points as to why this merger should not go through.
- The national satellite radio industry is a duopoly that is looking to become a monopoly
- It would violate FCC rules, precident, and anti-trust principles. "Ironically" Sirius was the one who asked for competition in the 1997 FCC SDARS license.
- It would undermine audio content competition. In contract negotiations, the new entity could unfairly leverage their monopoly to maintain exclusivity or to reduce prices unfairly.
- Two entities that have had a pattern of violating FCC rules cannot be trusted with monopoly power. The FCC mandated that an interoperable radio be developed - 10 years later, nothing has been developed. Both companies violated Part 15 rules. Both companies have violated repeater rules.
- XM and Sirius are, by their own admission, not failing companies. And should not receive a government bail out.

Comments
If he wants to talk about admissions, he should just read the SEC filings by his members - as Ryan pointed out, each filing shows that the competition is almost all audio content: internet, MP3, CD, etc.
This guy is such a prick, when you look up "prink" in the dictionary, it says "We refuse to show you David Rehr's photo, because he is such a prick."
Posted by: iband | February 28, 2007 3:42 PM
"It would undermine audio content competition. In contract negotiations, the new entity could unfairly leverage their monopoly to maintain exclusivity or to reduce prices unfairly."
Yes, because terrestrial radio stations pay SOOOO much for the right to broadcast music.
Oh, wait a minute...
Posted by: Chris ? | February 28, 2007 4:04 PM
Then he broke into a rousing rendition of "Hot Hot Hot."
Posted by: Jim Treacher ? | February 28, 2007 4:10 PM
The very fact that Mr. Rehr feels so compelled to interject himself in the matter belies his statement that satellite radio would be a monopoly. Why would he care unless his people were competing against satrad? According to an article on the situation I found, the NAB is somehow trying to argue that the merger will create a national monopoly to COMPETE against local radio stations. Makes a lot of sense, huh?
Here's the article: Hollywood Reporter article
Posted by: waterwagen ? | February 28, 2007 4:12 PM
By the way, this is on CSpan 3 online, right now. And they've got Mel and Rehr both at the SAME TABLE responding to the questions. Quite entertaining.
Oh, and one of the congressmen just made my point in his opening remarks - the very fact that Rehr is there says that satellite radio is part of a broader radio market. And he also mentioned the fact that Ryan blogged the other day - that satrad listeners mostly listen to terrestrial also.
Posted by: waterwagen ? | February 28, 2007 4:14 PM
I'm against this merger, but I've got to say Rehr's 5 points really suck and aren't very strong. "Don't let them merge because of wireless fm transmitters being 'too strong' and operating repeaters where they didn't have permission" Both are really 'who cares' issues.
Posted by: Adam | February 28, 2007 4:32 PM
BRAVO to NY Representative Anthony Weiner!!
Sticking it to Rehr about Clear Channel!!
Posted by: jcrean | February 28, 2007 5:14 PM
Man, the guy even looks like a huge dork.
Posted by: xanadu1979 ? | February 28, 2007 5:35 PM
Anthony Weiner is my hero! Way to go!
Doesn't David Rehr look like Al Franken a little bit?
Posted by: Jorge | February 28, 2007 5:45 PM
I know I am not the only one thinking this but is this video going to be available on line?
I would love to see what rehr (please do not capitalize his name nor but the "mr." in front, he doesn't deserve it) looks like in video and to hear what his voice sounds like.
Posted by: another thought | February 28, 2007 6:05 PM
Maybe but I still think he looks like David Johansen (aka Buster Poindexter) Especially when he played the ghost of Christmas Past in Scrooged.
Posted by: another thought | February 28, 2007 6:12 PM
I hate this guy. What a moron. I bet after this he tried to go around with his checkbook to buy some people. Ass.
Posted by: W | February 28, 2007 8:13 PM
He has the face of a weasel! Look at that smug smile of his! LOL!
Posted by: Max | February 28, 2007 9:51 PM
this guy is one of the omega dorks from Animal House!
let's see, Gregg Marmalard or Niedermeyer...
Posted by: Jeffrey | February 28, 2007 11:55 PM
I agree with waterwagen, if this is a monopoly, then why would someone in the radio business feel that the merger of sirius and XM would harm testicle radio. Obviously Free FM is the only competition to sat radio. Rehr, dude, you are coming across like you are afraid the merger will hurt your entity and give YOU more competition. LOL
Posted by: Bob | June 11, 2007 4:16 PM