General Discussion Undecided where to post - do it here. |
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This is still a very new technology with home recievers just now coming out and with most people only getting a car reciever when they buy a new car. It all be at least a decade before they become common place in cars just like it took a decade for CD players to replace cassette decks or for FM radios to get out there.
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I think if they can merge that it would benefit the companies and possibly the consumer. Right now you have to pick between xm or sirius when you buy equipment, so that part almost seems more like a format war ala hd dvd vs. blu ray rather than real competion. I think satellite radio's main competitor is FREE terrestial radio, especially since HD radio is finally rolling out in many markets. Though like DanS said, I think its likely the DoJ may block this move.
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Originally posted by -Jrabbit
Do you seriously believe that consumers will benefit from this? This industry is FAR from mature. With economies (presumably) realized, profits will happen. Prices will likely remain stable, but sign-up incentives to new subscribers will probably become more common. As Asher says, the motivation to provide improved programming will basically be eliminated if a monopoly is created. In fact, I would suggest that the total number of satellite channels will decrease, since there is similar genre-based content on the two systems. Thing is, they aren't going to be a monopoly. They're competing against all sorts of things - FM/AM radio, cable television, and the internet. FM/AM radio is free, and thus XM can't entirely price compete; they have to, to some extent, content-compete with FM/AM. Cable, is the same; they don't really directly compete here, but some people undoubtedly get Sirius to listen to out of market MLB games instead of the MLB extra innings package or whatever. Internet, provides both sports coverage and all the benefits of a radio, with the only drawback being lack of portability... So I suspect in the short run at least, this won't hurt consumers, as XM still needs to win them over. In the long run, who knows... but if they prove profitable, who knows if another company will emerge? |
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This merger clearly creates a monopoly. There are only two players in the industry, all the obvious properties are locked up contractually, and the cost of entry for potential competition is astronomical.
It doesn't afffect me in the slightest, so it's hard to care. But it's hard to believe that this sailed through. |
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