With the blessing of the Justice Department and the Federal Communications Commission (FCC), XM and Sirius have the official go-ahead to become one major satellite radio provider. But what does this mean for current XM and Sirius subscribers or prospective satellite customers?
Does this mean I'll pay more?
Not in the immediate future. Both companies have agreed to a three-year price cap so that a combined Sirius-XM cannot immediately hike its rates, though official FCC documents say that that price cap is “subject to certain cost pass-throughs" after one year. The FCC also has the authority to modify or extend that price cap after 2011. How that plays out really depends on who is at the helm of the FCC at that point.
Will this mean more programs to choose from?
XM and Sirius said last year that a la carte options would not come into play until a year after the merger was closed, but the FCC order says that a la carte, as well as new programming packages, will be available within three months.
Users can currently only purchase separate packages from XM and Sirius for $12.95 a month, but will soon have the option for a $16.99 a month package, which would allow XM and Sirius subscribers to continue receiving their current offerings, but also access select programming from the other satellite provider.
Customers will also have the option of “mostly music" and a package of news, sports, and talk programs for $9.99 per month.
Does this mean I'll pay more?
Not in the immediate future. Both companies have agreed to a three-year price cap so that a combined Sirius-XM cannot immediately hike its rates, though official FCC documents say that that price cap is “subject to certain cost pass-throughs" after one year. The FCC also has the authority to modify or extend that price cap after 2011. How that plays out really depends on who is at the helm of the FCC at that point.
Will this mean more programs to choose from?
XM and Sirius said last year that a la carte options would not come into play until a year after the merger was closed, but the FCC order says that a la carte, as well as new programming packages, will be available within three months.
Users can currently only purchase separate packages from XM and Sirius for $12.95 a month, but will soon have the option for a $16.99 a month package, which would allow XM and Sirius subscribers to continue receiving their current offerings, but also access select programming from the other satellite provider.
Customers will also have the option of “mostly music" and a package of news, sports, and talk programs for $9.99 per month.
