Great service and all, but is Sirius getting a little overconfident here? The company is now raising the monthly subscription charge on its basic package to $14.49, from $12.95 currently, according to details shared earlier today. That's the first basic hike since 2002, and changes go into effect January 1st, 2012.
The move comes amidst some life-affirming developments. This is no longer a company battling the throes of bankruptcy, fretting over Nasdaq delisting threats, and combating other mortal enemies. Sirius also has more 21 million subscribers, impressive in a music field known for paltry subscriber numbers. In fact, that's one of the best subscription numbers across all entertainment services.
And, this is an increase of $1.54, “less than a cup of coffee" as the pitch goes. But does that mean consumers will pay the difference, especially amidst continued economic problems and shrinking wallets? Maybe they won't notice, but this feels much greater psychologically: $14.49 is edging towards $15, while $12.95 still feels like part of the $10 orbit.
The industry knew this was coming, though federal regulators were hoping to avoid exactly this type of hike. In fact, as part of their 2008 approval, then-separate Sirius and XM Radio agreed not to increase access fees for three years. Which was, about three years ago.
The move comes amidst some life-affirming developments. This is no longer a company battling the throes of bankruptcy, fretting over Nasdaq delisting threats, and combating other mortal enemies. Sirius also has more 21 million subscribers, impressive in a music field known for paltry subscriber numbers. In fact, that's one of the best subscription numbers across all entertainment services.
And, this is an increase of $1.54, “less than a cup of coffee" as the pitch goes. But does that mean consumers will pay the difference, especially amidst continued economic problems and shrinking wallets? Maybe they won't notice, but this feels much greater psychologically: $14.49 is edging towards $15, while $12.95 still feels like part of the $10 orbit.
The industry knew this was coming, though federal regulators were hoping to avoid exactly this type of hike. In fact, as part of their 2008 approval, then-separate Sirius and XM Radio agreed not to increase access fees for three years. Which was, about three years ago.
