Polk Audio will bring XM Satellite Radio into homes

Daily Record, The (Baltimore), May 20, 2004 by Adam Minakowski

Baltimore's Polk Audio said yesterday it has partnered with XM Satellite Radio to develop a high performance component tuner for premium home audio systems.

Polk Audio's president, Jim Herd, said his company will build upon the technology already developed by XM's engineers to improve the quality for high-end stereo systems.

We'll focus on making the product better with improved stereo sound, signal-to-noise ratio, among other things, for improved audio performance, he said. Once the design is complete, Polk will hand over production to an Asian company with which it has previously done business.

Herd said he originally approached XM after he became a subscriber to the Washington-based service and had an opportunity to see its studio headquarters.

I was just blown away with the service, and these audio signals are phenomenal, he said. I have four sons and a daughter-in-law living with me and every person found a channel they loved.

Herd's admiration is reflected by Phil Wentworth, the director of product marketing at XM. When I began floating the idea to the company, it was amazing to me how many people said they have Polk speakers, they love them, and that they're on their second or third generation of the product, said Wentworth. The two brands are in exact alignment.

Polk, the second leading international manufacturer of home and car loudspeakers, developed a five-year plan to broaden its line of products beyond just speakers. At the same time, XM was surprised by the success of its plug-and-play models, which allowed its car radios to be played at home and decided to aggressively pursue the home market.

We almost simultaneously contacted each other, Wentworth said.

Wentworth added that his company has no trepidation about working with a company that has focused mainly on speakers.

They have done other mainstream electronics products, and they are an established firm with a track record for not going out and doing something unless they can do it right, he said. They have a high batting average.

David Butler, the spokesman for XM Satellite Radio, said the proximity of Polk to XM's Washington headquarters was an added bonus to the deal. Polk is such a household name, and it is nice to have a close relationship, both literally and figuratively, with such a company he said.

Polk Audio aims to release full details about the tuner in late June and expects to have it available for the public in October. The product will retail for about $329.

Founded in 1972 by Matthew Polk and George Klopfer, Polk Audio now sells its products in more than 50 countries and holds more than 55 U.S. and foreign patents for loudspeaker technology and design.

XM, launched in the fall of 2001, today has about 1.7 million subscribers. Among its more than 120 channels are 68 that are commercial free and 34 for news, talk, and entertainment. This year the company introduced 21 traffic and weather channels, with one each dedicated to the Baltimore and Washington metro areas.