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To: hui zhou who wrote (48424)	6/3/2003 4:26:24 PM
From: Larry S.	Respond to of 53068

i held some SIRI pers. look at XMSR, then look at SIRI. madness is contagious. then again, this is likely to be a major product, extending beyond cars to individual radios, cell phones, pda,s laptops, etc. larry

To: hui zhou who wrote (48424)	6/3/2003 8:14:32 PM
From: Carl Worth	Read Replies (1) \| Respond to of 53068

I think that people will pay for SIRI/XMSR service in droves. My sister has it in their car, they love it, I'm sure they would pay more if the price was higher. I used to own a business and drove a total of 60 to 120 minutes a day, and I HATED all the commercials, jibber jabber, traffic breaks I didn't care about because I always planned my route not to be in traffice, weather reports telling me it's going to be hot today in Phoenix (DUH), etc. I would easily have paid 10 (or 20) bucks a month to have commercial free music of the type I liked, or talk radio without commercials, or sports games from other cities, etc. I think a significant percentage of people who commute would pay for it, right there you have a huge potential market. It's going to be available as an option on more and more cars, so the equipment price will be nearly irrelevant, what's 150 bucks added to the loan on a 20 or 30K vehicle? The question at this point is not whether people will buy the equipment and the service, it's how much can the companies drop to the bottom line in terms of EPS once they finally make a profit, because they will have tons of shares out there, so millions of dollars in earnings, when they can finally be achieved, will be broken up into hundreds of millions of pieces to get EPS. Previously people were comparing XMSR and SIRI to VHS and Betamax, and there seemed to be a decent chance that SIRI wouldn't survive, or would be bought out for peanuts by a wealthy company that could fund its rollout, but now SIRI has gotten funding and it looks more likely that both companies will survive, and they could both prosper, that remains to be seen. Long and short, the service will be in demand, how that shakes out in terms of earnings for the two providers is anyone's guess at this point. SIRI says they need 3M subscribers to break even. I've seen reasonable estimates stating that the two companies could eventually have a combined 50M subscribers. If they ever begin to approach that in reality, they will make a ton of money, even on the large number of outstanding shares that they have. Carl