Long Awaited Merger Gets Anti-Trust Approval
Posted: March 24th, 2008
By: Zach Heller
Category: Technology Corner, The News Beat

The merger between satellite radio giants, XM and Sirius, has gained a renewed strength today as it was announced that the U.S. Justice Department has given the okay.  This announcement comes more than a year after the merger was first introduced.  The Department of Justice, in their ruling, determined that because of the large variety of music options to consumers, these two companies joining forces is not anti-competitive.

It is still unclear what a merger would mean to consumers, as far as new pricing and subscription options.  And many current satellite radio customers are nervous that the deal could increase their fees substantially.  There is still a decision from the FCC to come, but it appears that they deal will eventually pass.

The judgment ultimately came down to a determination whether or not satellite radio is its own industry, or just a part of the larger music and entertainment industry.  By deciding in favor of the merger, it is clear that the Department of Justice believes satellite radio is just another option to public radio.

Post a Comment   |   (0) Comments  |   Permanent Link  Go Back

Comments
There are no comments for this post.