Thursday, March 08, 2007

Mel Clarifies Confusion Over Pricing, Outlines Benefits To Consumers

Mel gave them exactly what they asked for!

Sirius vows 'significant discount'
In buying XM Satellite, Sirius gives clarification of price for service, which it says will be below the $25.90 cost of the two services combined.
March 8 2007: 7:16 AM EST, www.cnn.com

WASHINGTON (Reuters) -- Sirius Satellite Radio Inc. Wednesday tried to clear up confusion over the cost of its service after buying rival XM Satellite Radio Inc. by telling lawmakers that it would be less than $25.90, the price of two services combined.

"If our merger is approved, we will offer consumers a much more attractive choice - the best of each service on one radio at a price well below the cost of the two services today," Sirius Chief Executive Mel Karmazin told a House telecommunications subcommittee hearing.

Sirius CEO Mel Karmazin
Karmazin did not say specifically what the new price would be, except that there will be a "significant discount." XM (Charts) and Sirius (Charts) each charge subscribers $12.95 monthly.

When asked if the discount would be around $10 or $2, Karmazin said it "looks closer to 10 than to two."..read more: here