TWICE writer Bob Gerson feels there's a better than 50/50 chance that the FCC will approve the XM-Sirius merger. At least that's the indication he got from the mouth of the horse, in the form of FCC chairman Kevin Martin.
During Martin's appearance with Gary Shapiro (President/CEO of the CEA) at CES, Martin was asked how he would view an XM-Sirius merger. He said the FCC's investigation would likely follow the same script they took when reviewing, and ultimately turning down, the proposed merger of DirecTV and Dish Network.
And as we all know, the DirecTV/Dish merger was turned down because a lack of competition, especially in rural areas. But Martin added that with phone and utility companies challenging cable as TV content carriers - the FCC might now take a different view. (I've always felt that the problem with the DirecTV/Dish merger is that it came 5 years too early.)
The competitive environment is completely different in radio. And as Kevin Martin indicated, technology is blurring the lines of how services are being delivered. In other words, delivery is becoming less of a factor rather it's the consumer experience that determines what's competition and what's not.
[TWICE]
Thanks MUSCLE13!
Thanks Ryan. FCC is the "high hurdle" here. Good to read this from such a reputable industry magazine and writer -
"Bob Gerson is the founding editor of TWICE and was its longtime editor in chief. He has covered the CE industry for more than 30 years and has been inducted into the Consumer Electronics Hall of Fame."
I hope the merger doesn't go threw. But nothing i can do about it.
Sirius would have won the battle if the merger never went through.
I dont want the merger to go thru either. There is something you can do about it. Contact your state representatives to say no. There is a link on WACKBAG.com that can help you do this!
I dont want sirius programming nor Mel Karmazi interfering with the programming I already love.
This merger will be great! for a few dollars more, I'll get all the baseball & music I want...
not go through...someone has some strange perspective on why this will be bad.
As a Sirius shareholder, I hope the merger does go thru. I might make some money on my investment.
:)
Even if the merger did go through, you wouldnt be making much. Maybe in 2-4 years you will see something big. Anyone know if both companys are at positive cash flow yet?
even the FCC head, Martin stated the Dish/Direct TV merger attempt of the past would be different now(ie--it might pass)
This merger was approved before it was announced you dopes.
Now the question is.... does Mel want it to happen, or will he leave XMSR out to dry?
I expect negative numbers out of XMSR for Q1 and maybe Q2.
This will change the mindset.