Forbes is reporting that XM Satellite Radio is rumored to be dropping it's long standing relationship with Boeing, in favor of Loral, to build it's next powerful new satellite estimated to cost more than $200 Million.

While no official decision has been released, it's rumored that other industry officials have been discussing the decision, and Loral's internal email system has leaked the confirmation that XM made its choice.

Boeing manufactured the XM-1 and XM-2 satellites that turned out to be faulty, which resulted in the launching of XM-3 in February and the planned launch of XM-4 in 2007 to replace the dying birds. These buggy birds left many at XM with a salty taste in their mouth and they've been battling it out with insurance companies to make sure they don't need to foot the bill. Loral coincidently manufactures SIRIUS' satellites.

According to WSJ Online, this new satellite is intended to be a spare to back up XM's four other satellites, though they say they're not ordering anymore for at least a few years. XM-3 and the upcoming XM-4 should remain operating for 15 years.

Designed to have more than 20Kw of power (the current Boeing satellites are 18Kw), apparently this bird would be one of the most powerful commercial spacecraft ever built in terms of electric power. No word as to what model the Loral is.

Whoa, this is cool. Raytheon and XM Satellite Radio are teaming up to demonstrate how satellite radio can provide customized alerts to military troops as part of the Defense Department’s Joint Blue Force Situational Awareness (JBFSA) program.

Dubbed “Mobile Enhanced Situational Awareness” or MESA, the effort is a joint program between Raytheon, XM Satellite Radio and worldwide satellite radio provider Worldspace, which has coverage over Africa, Europe and parts of Asia.

The idea is to setup tailored missile warning alerts to specific geographical regions, as opposed to broadcasting to everyone (causing confusion, pandemonium and general mayhem amongst troops… not fun). With XM, they’ll be able to send the warning messages to specific selections of troops on the ground. The MESA receivers will decrypt the message for the users that are intended to hear it, using pretty much existing communications hardware (camo MyFi skins anyone?).

As the technology gets better Raytheon sees lapel-sized receivers being worn by individual soldiers. No doubt any technology developed for military use can then be in turn used for civilian use… with the appropriate limitations of course.

There was a lot of buzz as to whether the 4 Million annoucement would happen today, and it looks like the chatter was right. XM Satellite Radio today announced they have reached 4 Million Subscribers.

They’re growing at an astonishing rate - over one million new subscribers in less than five months! And the goal is 5.5 Million subscibers by the year’s end, which is no doubt a conservative estimate.

Congrats XM!

Toyota’s been busy today. XM Satellite Radio, just announced that XM-Ready models of the 2005 Toyota Avalon, Lexus GS 300, and Lexus GS 430 are now available nationwide as a dealer-installed option.

In 2006, XM will be available as factory-installed equipment in a variety of Toyota and Lexus vehicles. Factory-installed is the way to go.