Motley Fool Weighs In On The Stiletto 100: "A Sirius Threat To The iPod?"

A Sirius Threat to the iPod?
By Tim Beyers (TMF Mile High), The Motley Fool, 09/05/2006

Is the Stiletto in? That's the question of the day among the tech chic. But it's not shoes with sticks -- as my three-year-old daughter calls them -- that are the rage, it's radio. Wired News reports that Sirius Satellite Radio(NASDAQ:SIRI) is on the verge of introducing the Stiletto 100, a portable music player that boasts both a satellite receiver and built-in Wi-Fi.
Naturally, the news is being billed as another blow to Apple's (NASDAQ:AAPL) iPod franchise. But is it really? I'm not so sure -- though, like iTunes and the iPod, the Sirius combo offers zero friction between device and programming. That's an improvement over the newest Sansa offering from SanDisk(NASDAQ:SNDK) and more like Inside Value pick Microsoft's (NASDAQ:MSFT)forthcoming Zune player, which has the investor in me mildly worried.
Nevertheless, Sirius' primary advantage in this market -- a built-in satellite tuner -- is also its largest weakness. Indeed, the Web has become just as relevant a medium for delivering content as orbital space or the terrestrial airwaves. What other reason is there for Sirius offering its service via the Web and then, in turn, to Stiletto customers? Answer: There is no other reason....read more: HERE

9/05/2006 02:04:00 PM

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