Home arrow News arrow State AGs: XM-Sirius Merger 'Not In Public Interest
State AGs: XM-Sirius Merger 'Not In Public Interest Print E-mail
Tuesday, 07/08/2008
WASHINGTON -- July 7, 2008: Tennessee Attorney General Robert Cooper and Connecticut Attorney General Richard Blumental -- along with AG staffers from Connecticut, Iowa, Kansas, Louisiana, Maryland, Mississippi, Missouri, Nebraska, Ohio, Oklahoma, Rhode Island, Tennessee, Washington, and Wisconsin --met with FCC Commissioner Deborah Taylor Tate on July 1 to discuss their concerns regarding the long-pending proposed merger of XM Satellite Radio and Sirius Satellite Radio.

Several state Attorneys General have already opposed the merger in two earlier letters to the FCC, and an ex parte filing following the meeting with Tate says a number of AGs continue to urge that the merger application be rejected.

The filing, signed by Cooper, says, "The States explained that genuine competition creates competitive pressure that spurs technological innovation, diverse programming, lower price, and creative marketing options for the benefit of consumers" and points to the lack of interoperable satellite receivers as part of the reason there is "less-than-vigorous competition" in satellite radio today.

The filing says, "The States expressed their view that had consumers been offered interoperable equipment, [XM and Sirius] would have likely already introduced many of the features they now offer in their 'voluntary conditions,' such as family-friendly programming and a la carte pricing."

The filing says that, while many AGs would prefer that the merger be denied, if it is approved, XM and Sirius should be required to lease spectrum and facilities to a competitor to offer channel outside the satcasters' subscription offerings.

At the meeting, the Attorneys General and staffers also asked that there be "prompt deployment" and a "stringent timeline" for interoperable receivers if the merger is approved. Says the filing, "They also urged the commission to consider requiring compatibility with HD Radio receivers in conjunction with an order enforcing deployment of interoperable receivers."

XM and Sirius have agreed to set aside spectrum for minority programming, but the AGs say their proposal is "insufficient to provide the level of diversity that should be available through national spectrum" and that it should, in any event, include programming controlled by women.
 
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