AFP reports that the U.S. Department of Justice has given approval “to a planned merger of US satellite radio groups Sirius and XM, saying the tie-up is unlikely to harm consumers or lessen competition.” The merger is not a done deal – the Federal Communications Commission still must give its approval.
So what does this mean for drivers who have satellite radio in their cars? According to Wired, “The big question is Will my existing receiver still work once the merger is complete? The answer, it appears, is yes and no. There is no question that existing hardware will continue to receive broadcasts from their intended provider. XM and Sirius will, by all accounts, continue to exist as separate entities.” However, Wired expects the merged satellite radio giant to “concoct a range of cable-television-style programming packages and à la carte options — an XM package with National Public Radio, for instance, or a Sirius package with the newly unveiled XM NavWeather service. To take advantage of such pick-n-choose programming, you'll need a new hybrid radio.”
The merger might not save your satellite radio service. Both companies were struggling to stay afloat separately, and Silicon Alley Insider notes that “the competitive landscape is only going to get tougher” for satellite radio over the next few years. The technology now competes for your attention with a long list of in-car entertainment options, including traditional radio, HD radio, and “In-car digital music systems, like Microsoft's Sync, pre-installed on some Ford cars, which offers enhanced control over portable media players/cellphones to drivers.”
Your in-car entertainment options are likely to be radically different in just a few years. BMW hopes to offer in-car internet service soon, and Chrysler recently announced that its own in-car internet feature is on the way this year.
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