Primosphere goes on an FCC meeting marathon

Monday, April 21, 2008 at 5:03 PM
Tags: FCC, Merger, Primosphere, Satellite Radio
Satellite RadioPrimosphere, one of the original four bidders for the satellite radio licenses in the 90s, held a series of meetings recently with the FCC to discuss the pending merger between Sirius Satellite Radio and XM Satellite Radio.

According to five separate filings made public today, Primosphere met with various members of the Federal Communications Commission to reiterate points made in prior filings.

Primosphere is asking the agency to consolidate the Sirius-XM licenses and grant them the other half of the SDARS spectrum. The company has said that it is prepared to construct and launch their own satellites in order to be "a new competitor" in satellite radio.

On April 8th, Primosphere met with FCC Commissioner Adelstein and Rudy Brioche of Adelstein's office, as well as held a separate meeting with Amy Blankenship of Commissioner Tate's office.

On the same day, Primosphere also met with Elizabeth Andrion of Chairman Martin's office, Rich Chessen of Commissioner Copps' office and with staff members from the Media Bureau, International Bureau and Office of General Counsel.

[Read FCC Filings: 1, 2, 3, 4, 5 (PDF)]

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Well there goes your monopoly argument. Approve this thing already so that CONSUMERS (remember them?) can get off the fence and sign up for the combined service that they, myself included, have been waiting for.


Can someone clarify for me - does this mean they're asking for currently unused spectrum, or for half of the XM/Sirius spectrum?

Gawd this is getting out of hand.....Now stuff from over a decade ago it coming in ???!!!!

Clearly they expect XM / Sirius to somehow consolidate into half the bandwidth so that they can get the other half.

Any idea how long it would take Sirius and XM to decide not to merge under such circumstances ?

Isn't this the kind of stuff that should have been dealt with...oh..i don't know....OVER A FRIGGIN YEAR AGO!!!!!!

Enough already! Everyone and their grandmother is coming out of the woodwork now?

Gimme a break.

The FCC and the NAB should be taken to court over this delay. And I am sure Mel will once this is over.

These fucking bastards with their last minute tricks. This means that your XM or Sirius receiver will no longer work if they get half the spectrum.

Who the Hell is this outfit going to sell the service too. Sirius and XM have all the
Sports content and Auto Makers locked up for the Next 5 years !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

Also , How long will it take for them to build and send up Satellites, this sounds
like a deathwish for this outfit.

If this rquest was granted then all of the XM or Sirius subs would instantly lose their service. In order for the merge to happen in a incremental way both satellite services would have to continue operating until a final solution is reached. All of XM's nav service would stop too. The request was to "merge" the two companies and the sale of one's assets (subs) to other comapny. Primosphere is asking for something that isn't even on the table.

Until the FCC says "enough of this BS" and makes a decision one way or the other we will see more and more of these off the wall requests.

If this rquest was granted then all of the XM or Sirius subs would instantly lose their service. In order for the merge to happen in a incremental way both satellite services would have to continue operating until a final solution is reached. All of XM's nav service would stop too. The request was to "merge" the two companies and the sale of one's assets (subs) to other comapny. Primosphere is asking for something that isn't even on the table.

Until the FCC says "enough of this BS" and makes a decision one way or the other we will see more and more of these off the wall requests.

DocJim-

They are seeking half of the combined spectrum of XM and Sirius.

This would be the only way I'd ever support the merger. Either Sirius or XM gives up their half of the spectrum, let Primosphere step up to the plate, setup the broadcast platform, and ba da bing we have competition, not a monopoly.

I think Promosphere, seeing the management mistakes both these companies have made, will concentrate on music, with a handful of talk stations, and not blow money on so called talent...Stern, Oparah, Nascar, etc, etc.

If this scenario will not happen, then NO to the merger. Consumers want choice, not monopoly! I don't care what anybody here says.

I'd support the merger under these conditions too. At least it keeps competition and an option for consumers in the market.

Let Clear Channel give up half of their lock on the AM/FM dial and then make them pay the artist for their work. Now, that would be good for the consumer.

If they get the bandwidth, it's a dealbreaker....xm is not worth 3.5 -5 billion dollars without it. So here's the option. NO DEAL! Let xm go bankrupt leaving sirius as the onlt sdars provider and punish xm's customers by making them go out and buy radios to make the switch...

Either way, Primosphere gets nothing...

@ crfceo: you're such a silly goose. what is howie and nascar costing sirius? if anybody goes broke it'll be the sirius puppy. You won't see either company's doors close...they'll be bought up before that would happen...and that will end up happening anyways.

Just a reminder...the merger won't occur. It'll be either No from the FCC, or too many conditions that XM will walk away from.

That's what I've been saying all along. I would think that based on prior rulings and standards, it would be expected that half the spectrum should be given up, and if that happens, I can't see where it's not a dealbreaker. I figured DOJ would be OK with the business side, and I've been holding out that the FCC would end up indirectly shooting it down, not by denying it but by placing restrictions they won't want to endure.

and personal attacks follow me here also, I see. Look at the NPD data...look at the balance sheets. Listen to EVERY analyst. It's a well known fact that xm will go bk if this deal does not go through. Do some research, then challenge me. At least then you'll at least look like you know something of what you speak.

The way things look, the FCC is going to delay this past the May 1st deadline. They are trying to force Sirius and XM hand.

Many people here say if this happens, that they should just walk away.

I say....HELL NO!!!

If there is no decision by May 1st...XM and Sirius should not only extend their agreement again....

But they should ALSO at the same time file a lawsuit.

No more crap. Do BOTH!

Back in January Mel hinted about suing, but never followed thru. But thats because they didn't want to rock the boat. They had to walk on eggshells.

But NOW? After the DOJ approved WITHOUT restrictions and the FCC is still delaying?

FUCK EM. SUE THE BASTARDS. They push us? PUSH THEM right BACK! No more bullshit.

Mel has EVERY friggin right to sue. The FCC has had over a year to prepare. In the meantime, both companies have suffered because of the delay. What the FCC are doing is deliberate and calculated. It is OBVIOUS now that the FCC is in cahoots with the NAB. They are trying to cover up this fact by "meeting" with ANYONE and EVERYONE in the 11th hour who opposes the merger no matter how ridiculous they are. This is all an elaborate smoke screen. A ruse. A put on. They are fuckin with Mel...and it's about time he fucked em right back.

The FCC and NAB want both companies to give up. I say NO! Sirius and XM should not only EXTEND their agreement, they should begin to play hardball. Make it public that they plan to SUE both the FCC and the NAB.

No more fuckin around. DO IT! DO iT! :-)

This sounds like another game or gimmeck for Primosphere to resell the spectrum to somebody else or just delay the merger.

I'm just not sure either company can afford to pursue a lawsuit, unless they find a law firm willing to work pro bono. If you think the DOJ & FCC is a long process, just imagine what it would be like dealing with the court system in terms of delays.

Then the FCC and the NAB have won. Both companies have lost so much with this delay. The stock price was almost $2 higher for sirius BEFORE the merger was announced. In that time, they have become Free cash flow positive, have grown a HUGE amount of subscribers....and yet all this good....all the good of the merger has been swallowed up in the NEGATIVES of the delay.

It was the NAB and the FCC's plan all along. Delay FOREVER. And if the DOJ approved...to then spend the 11th hour putting RIDICULOUS concessions on the deal....FORCING Sirius and XM to give up.

Mel doesn't give up. But it's getting to the point where something has to be done. These companies can't stay in limbo like this much longer.

How do you NOT sue if they walk away? You have to.

But I say, they should at least make an OFFICIAL threat that they plan to sue. Make it public. Try to force the FCC's hand for a change. This last 6 months it's been the FCC playing hardball trying to force Sirius's hand.

Nah. Time to fight fire with fire. Go public with the threat of suing. At LEAST do that before you just walk away.


XM listener.............................

has now qualified himself to be placed under the care of Nurse Ratchett.

Just when I think everyone has come out of the woodwork.....LMAO

Why can't Primosphere pay the same price for spectrum that Sirius or XM paid for their respective spectrums or what they both paid together for their combined spectrum and allocate this from the remaining bandwidth that was never auctioned in the 90s?

That would be the best way to go. Primosphere could get half the bandwidth of the combined Xirium, or an equal amount if they pony up the cash, and it gives people who are not happy with the merger another outlet to go.

Sirius and XM own their spectrum. If they want to pay the $3B-$5B that the spectrum is now worth, then maybe we have room to talk. Nobidy is getting anything for free. Bandwidth prices of 10 years ago are off the table.

The aguements by the opposition have been all along that there would be less diversity in programming and less popular channels could end up getting eliminated. Under this rediculous idea, half of the current channels would be lost.

I think that the FCC is absolutely liable in all of this. They said that they would be ready to go right after the DOJ. Obviously, they were being truthful.

Perhaps Primosphere is simply looking to derail the merger, then pick up either XM or Sirius for a song and get in that way? That should be obvious to the FCC.

I still maintain that the FCC has all but said 'yes' to the merger and is looing at the best way for the public for it to happen. If they did NOT entertain all these silly options, they might be accused of not doing this the right way. Patience people. Of course, that's one thing we American's don't have much of these days...patience.

Yea Primosphere!

CRFCEO = DOMINIC

YOU PROVED HOW MUCH OF A DUMBASS YOU WERE 5 YEARS AGO, YOU HAVENT CHANGED.

YOU STILL HAVENT FIGURED OUT HOW TO READ A BALANCE SHEET YET HAVE YOU? YOU REALLY THINK THAT SIRIUS FINANCIALS ARE BETTER?

HEY DOMINIC, IF THERES NO MERGER THEN HOWS SIRIUS GONNA COME UP WITH THE BILLION TO PAY FOR NEW SATELLITES? PLUS, HOW ARE THEY GOING TO EXPENSE IT WITHOUT IT MAKING THEIR FINANCIALS WORSE THAN XM?

CHEW ON THAT ONE FOR AWHILE, THEN EXPLAIN IT. YOURE ALL IN FOR A SPIN JOB NOW!

I can't believe that the FCC, in continuing to drag this thing out, would force Siri-Xm to extend their agreement a second time but it looks like that might happen the closer we get to May 1st. We're in week 5 since DOJ approval. The deadline for all protester submissions is long past, yet the FCC apparently continues to have meeting, after meeting, after meeting. How is this justified? How is this waste of taxpayer money justifiable? At the very least, an approval this week would be late enough as it is - Kevin Martin, WHAT'S GOING ON???!!!!!!

Who is primosphere you ask?

The organization is a holding company for New York resident Clifford Burnstein and his partner Peter Mensch in the entertainment industry company Q-Prime; the latter is a music management group for such artists as Shania Twain, Nickel Creek, Red Hot Chili Peppers and Metallica. Their attorney, Howard Lieberman of Drinker Biddle & Reath, told Radio World the men own Primosphere, each holding half of the company.

Dig a little deeper and of course we get the NAB connection....

Jacksonville Duo Sold to TAMA

$8.5 million was the price tag for stations WXGV(FM) and WYGV(FM) in Jacksonville, Fla. TAMA Broadcasting, run by Dr. Glenn Cherry, buys them from Exosphere Broadcasting, run by Clifford Burnstein and Peter Mensch, who own three stations in Fresno, Calif. TAMA also owns several other stations in Florida and South Carolina. Blackburn & Co. acted as brokers.

http://www.radioworld.com/dailynews/show_issue.cgi?year=2002&month=10&week=43

Let's assume the FCC rejects the deal because of some retarded reason ... BTW, the definition of RETARD fits here perfectly.

Pronunciation:
\ri-ˈtärd\
Function:
verb
transitive verb 1 : to slow up especially by preventing or hindering advance or accomplishment

The DOJ said they could merge, so why aren't the lawyers for SIRI/XM looking at what we can do TODAY, regardless of what the FCC says ? What is stopping us from making the stock deal of SIRI /XM shares ?

Screw the FCC, NAB and HD radio. Don't change the spectums, don't change the receivers. Leave everything the way it is today. Do the stock buyout and go from there.

What would the FCC do ? They can't do anything. We have the DOJ decision to back us up.

We go ahead and merge and then let the FCC comes after us ... YOU CAN'T DO THAT !!! Then we pull out the DOJ card as our material witness ...

There's a good court case ... the FCC versus SIRI/XM AND the DOJ. How could the FCC ever file a case against us with the DOJ to back us up ?

We call to the stand Kevin Martin ... and what did you do in the first year that this merger was filed ??? You did what ? You did nothing ? What exactly do you do ?
You can't tell us ?


so i assume the two airliners that are talking about a merger this week must give up 1/2 their routes to companies that WANT to get into the airline business right? and for FREE right?

sure they can have XM's portion, but they first have to pay for the current sat's, pay for all the expenses for the last 10 years, pay the contracts that will now be broken, pay for all the conversions to 1/2 of the specturm that will have to occur, pay for all the new radios......etc

so lets say 50 billion and call it even.....then you can have 1/2 the spectrum...hmmk?

I think the proposal put forth is a completely reasonable one. I do hope that the FCC does the right thing and require giving up of 1/2 the spectrum by the merged entity. I concur with some of the statements made here that both companies got away from what made them different and compelling and, most importantly, potentially profitable - MUSIC.

A new company can be the "Slacker" format of the best music and nothing but the best music. I'd give up both my Sirius and XM subs for a service that gives me what I want. Currently, Sirius has my earshare for its ch. 15 and XM for 20 on 20 and sometimes ch 49.

I never listen to Oprah or Howard or R&F, or O&A. I wouldn't mind losing that programming at all. Heck, I've even considered buying a Slacker portable and plugging it into my aux jack in place of my XM.

I like competition - it's what keeps things improving.

"If this rquest was granted then all of the XM or Sirius subs would instantly lose their service. In order for the merge to happen in a incremental way both satellite services would have to continue operating until a final solution is reached. All of XM's nav service would stop too. The request was to "merge" the two companies and the sale of one's assets (subs) to other comapny. Primosphere is asking for something that isn't even on the table."

Hopefully this wouldn't happen over night but knowing how the F.C.C. works they would set it up to where everyones radio would stop working.. as far as either XM or Sirius going bankrupt, it wouldn't mean the end of either service if they did go bankrupt, it would mean a reorganizing of their finances.. which I would prefer over this merger for the fact that the merger means they will have to surrender half of the bandwidth.. that's what I have always not like about this merger, that's why I've been so anti-merger.. you can't trust the government to do the right thing or to be fair...

To crfceo:

Cliff & Peter left the terrestrial radio business at the end of 2004. They currently own no radio stations or construction permits. There is no connection between Primosphere and the NAB.

And then... silence...

weren't the licenses granted with the cavent that both companies remained seperate and not one company would hold both licenses, a merged company would. Take back half of the spectrum and allocate or reserve it for another current or future entity, plain and simple. Frankly both XM and Sirius spent stupid money on talent and should be given an out for poor business decisions. Enough with Mel K. strong arming.

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