Bulls on XM

[USFMikeB]

Cramer is a tool, very little of what he say actually happens.  Karmazin has been in charge of Sirius for almost a year now, and they have no plans for consolidating.  Sirius is rapidly outpacing XM on new subscribers, has much better programming, and has done a better job of reducing their fixed costs.

[kansas]

 Great news althou I will be watching on ESPN Gameplan.

 I listen the Noles w/ Gene and PT doing commontary on my XM.

 BTW, no way will they merge anytime soon. The FTC will not allow it. Cramer, althou I like him, doesn't have a clue about what he talks about when it's about Sat Radio.

[Guest]

Mike, while I agree that Cramer is a tool... he is not the only one suggesting there should be a merger.  At some point, these companies have to start turning a profit - and neither of them are doing so right now.  Sirius may be in the lead, but that's not saying much for a company that loses more money each month.

As for the Federal Trade Commission, I would bet they will alow the merger -- if only because there is no monopoly here.  Yes, they would be the only company providing audio programming via satellite, but there are many other companies providing audio programming via radio waves.

(NOTE: The satellite tv merger was denied by the Federal Communications Commission because it would create a monopoly in certain rural areas where residents have no cable access. This would not apply to radio.)

I am willing to bet that Sirius will buy XM at some point in the near future... if only because XM's investors are looking to cut their losses.

[bulls96go]

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