Final approval given to merger of US satellite radio firms

AFP, July, 2008

WASHINGTON (AFP) — US regulators formally approved the long-delayed billion-dollar merger of the nation's only two satellite radio companies, combining Sirius and XM into a single network with 18 million subscribers, the FCC said Saturday.

The Federal Communications Commission, in a 3-2 vote Friday by its commissioners, approved Sirius Satellite Radio's 3.3-billion-dollar buyout of XM Satellite Radio, ending about 16 months of regulatory limbo for the satellite radio pioneers.

Company executives have long argued that the merger would lead to major cost savings and the first-ever profits in the fledgling industry.

"The merger is in the public interest and will provide consumers with greater flexibility and choices," FCC chairman Kevin Martin said in a statement confirming the final vote.

"It will also spur innovation and advance the development and use of interoperable radios, bringing more flexible programming options to all subscribers." ...