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Technology Stocks : Sirius Satellite Radio (SIRI) -- Ignore unavailable to you. Want to Upgrade?


To: Sirius_Rich who wrote (6270)2/8/2007 9:01:13 PM
From: i-node  Read Replies (2) | Respond to of 8420
 
It would be idiotic if SIRIUS intended to NOT kill XM.

Over 6 out of 10 Americans, over 7 out 10 Canadians and 9 out of 10 Mexicans CHOSE to buy SIRIUS over XM last year. And there is no indication that SIRIUS' lead will not continue to grow even larger.


SIRI is the better known brand as a result of them dropping a billion dollars on Stern. Still, it is inarguably the most idiotic business decision in the industry's short history and one on which SIRI has zero chance of ever breaking even.

XM offers much stronger content, a hell of a lot more of it (and the difference in the sheer quantity is going to increase as SIRI squanders its HM gains on cartoons), and one day, at retail, content will be king (not yet, but one day).

Furthermore, as XM's factory exclusive install programs with Nissan, Hyundai, and Toyota ramp up, the XM brand will benefit from it. Sirius will regain its status as an also-ran in the next couple of years.