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Technology Stocks : XM Satellite Radio Holdings Inc. (XMSR) -- Ignore unavailable to you. Want to Upgrade?

To: DaveMG who wrote (573)	4/25/2003 9:34:31 AM
From: i-node	Respond to of 3386

There are apparently large variations in the subsidies. The plug and play Sony aftermarket product which has essentially been replaced by SKY-fi had a high subsidy, Sky-fi has a low subsidy. GM gets something like 50$ per radio installed,but Honda, Toyota, Audi, are getting next to or nothing. This is a good point. And it makes sense; early on, when manufacturers don't KNOW how well the product is going to sell, the subsidies are essential to get them to even build the stuff. The phenomenon we're seeing with the auto manufacturers is the same as we'll see in the aftermarket. But you put it much more nicely than I could have -- PCStel's position is "oversimplified"...other subscriber models require huge subsidies therefore this one will. I just prefer to look at the company and what it is doing and what it has done...