H Media blog

Tuesday, May 6, 2008

Waiting on the Merger of Sirius and XM

Consumers have got been avidly following news of the awaited amalgamation between Dog Star Satellite Radio and XM Satellite Radio. The amalgamation have already been held up longer than expected owed to fold examination by the Department of Justice and the FCC. Respective hebdomads ago it was expected that word would be quickly coming regarding blessing of the merger. That have not yet occurred; however, and now it is anticipated that blessing may not get until the end of May or possibly even June.

Currently the FCC is still expected to O.K. the amalgamation while asking for statuses that are only modest at the most. Respective hebdomads ago word was released that the DOJ had completed the probe of the amalgamation proposal, which was announced more than than a twelvemonth ago. The DOJ reported that they would not be taking any action on the matter. This was certainly welcome news. The Department of Justice concluded after calendar months of probe that the projected amalgamation would not be anti-competitive. This meant that the last hold-up for blessing was left to the FCC. When artificial satellite radiocommunication licences were originally granted by the FCC back in 1997, amalgamations were prohibited.

There have been concern issued by lawyers general in a smattering of states. Those states requested that the FCC reject the amalgamation proposal on the footing that it was anti-competitive. In the event that the FCC travels ahead with blessing for the merger, those peculiar states are requesting that the FCC necessitates the concerted artificial artificial satellite radiocommunication physical thing to rent bandwidth and do it available for free satellite radiocommunication service. No opinion have got been made on this petition yet.

In visible light of the fact that a concluding determination have not yet been reached regarding the merger, both XM and Dog Star have decided to detain their shareholder meetings, which are typically held on an yearly basis. The meetings have got been delayed pending further information regarding the timing of the projected amalgamation of Dog Star and XM. The meeting had been originally scheduled for Friday, May 1st. That meeting have now been rescheduled for May 20th; however. Stockholder blessing for the projected amalgamation was obtained by both Dog Star and XM in November of 2007.

If the amalgamation is approved, as it is anticipated it will be in the approaching months, the combination of XM and Dog Star would essentially affect a buyout of XM by Dog Star amounting to some $5 billion. The concerted attempts of Dog Star and XM would take to more than than 17 million artificial satellite radiocommunication subscribers. The chief executive officer of Sirius, Mel Karmazin, is expected to head the incorporate companies.

The benefits to endorsers from the amalgamation are expected to be enormous as endorsers will no longer necessitate to take from one or the other artificial satellite radiocommunication programming. For prospective endorsers who have got been waiting to see how projected amalgamation volition turn out, this will be truly welcome news. If endorsers wish to go on with scheduling from one supplier they will be able to make so without paying other for scheduling from the other provider.

Labels: , ,

0 Comments:

Post a Comment

<< Home