NAB responds to proposed Sirius/XM merger
Monday, February 19, 2007 at 6:07 PM
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Well, that didn't take long. The NAB has issued a statement today in response to the proposed merger between Sirius and XM. NAB Executive Vice President Dennis Wharton had the following to say:
"Given the government's history of opposing monopolies in all forms, NAB would be shocked if federal regulators permitted a merger of XM and Sirius. It bears mentioning that regulators summarily rejected a similar monopoly merger of the nation's only two satellite television companies -- DirecTV and DISH Network -- just a few years back.
"When the FCC authorized satellite radio, it specifically found that the public would be served best by two competitive nationwide systems. Now, with their stock prices at rock bottom and their business model in disarray because of profligate spending practices, they seek a government bail-out to avoid competing in the marketplace.
(...and the kicker:)
"In coming weeks, policymakers will have to weigh whether an industry that makes Howard Stern its poster child should be rewarded with a monopoly platform for offensive programming. We’re hopeful that this anti-consumer proposal will be rejected."
So it looks like the NAB is going to play the indecency card on this one.
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Comments
the problem with the NAB is that mp3 players weren't invented when sat radio was created.
Posted by: another thought | February 19, 2007 6:35 PM
Their dig on Howard Stern is total BS. Was it not jut last spring they were trying to get Howard to do an Opie and Anthony type deal and do some of the show on terrestrial radio? They realize they can't offer compelling conent and they'll do anything they can to try to get competition squashed.
Posted by: Mike | February 19, 2007 6:46 PM
The Stern comment is, of course, over the top, but for once, the NAB is right. Their motivations are vastly different than mine, but as long as we get the same result, I side with them on this one.
Posted by: Jim | February 19, 2007 6:46 PM
I can't stand the NAB for most things they have done to Satrad including the disabling of the FM mod. but I hate to say it but they have a point here when they state...
When the FCC authorized satellite radio, it specifically found that the public would be served best by two competitive nationwide systems. Now, with their stock prices at rock bottom and their business model in disarray because of profligate spending practices, they seek a government bail-out to avoid competing in the marketplace.
The last line is a little harsh but they made a good point and all the "big bosses" at both companies are thinking about is there own pockets (like all companies) and not thinking about what is best for everyone else (us).
Posted by: prozac ? | February 19, 2007 6:48 PM
NAB just doesnt want the competition. Satellite radio is finally a threat to CBS,EMMIS,Clear Channel and they can't take it. Too bad.
Posted by: AIR ? | February 19, 2007 7:30 PM
Yes, they will ask the same Congress that gives baseball its ridiculous antitrust exemption to spank sat radio because the advancement of technology is obsolete.
Screw the NAB. They will fight this tooth and nail!
Posted by: iband | February 19, 2007 7:49 PM
Wow. I was on the fence about this deal. But the NAB just made me 100% behind the merger, if for no other reason than we need someone to go up against the Clear Channels and Cumulus' of the world.
What a bunch of crybabies. If they knew how to program, they wouldn't have the problem of sat. radio. Who would ever have considered paying for radio ten years ago? Not until Clear Channel and their likes screwed it up with 26 mins an hour of commercials and bland programming did Sirius and XM become a threat.
Go Sirius/XM!
Posted by: rjr | February 19, 2007 9:51 PM
The problem with the NAB's Stern comment is that we're supposed to believe that the same people who made Sex In The City and The Sopranos hits for HBO are suddenly offended when they hear "Shock Jock" Howard Stern! Amazing!!!
Posted by: Frank Z ? | February 20, 2007 8:41 AM
I'm with the NAB. I love my satrad, but I'm not willing to give up my channels and pay a higher subscriptions (and possibly new equipment fee) just to pad the pockets of Howard Stern, the CEOs and shareholders. I'm a lowly consumer in this battle and all I have is the law on my side now. NAB is right. FCC drafted the regulations in such a way that these two entities cannot merge. Competition is always good for consumers (we're not communists for a reason). I say down with the merger.
Posted by: SatRad Chick | February 20, 2007 9:59 AM