XM loses NASCAR and promptly raise rates

gridironmike · Post by **gridironmike** » Mon Feb 28, 2005 12:47 pm

What are they thinking? Last week, Sirius announced that they had secured the rights to NASCAR beginning in 2007. Today, XM announced that they will increase their subscription price 30% beginning in April 2005. Lets see. lose NASCAR and increase rates. What a PR nightmare. The best advantage XM had over Sirius was $9.95 versus $12.95. By 2007, Sirius will have NFL, NASCAR, NBA, NHL, and Howard Stern.

http://www.xmradio.com/serviceupdate/index.jsp

XM Expands Basic Service and Introduces New Pricing Effective April 2.
Existing & New Subscribers Offered Unique Opportunity to Lock-in Current Rates
Since the launch of XM — and particularly during 2004 and 2005 — XM has made dramatic improvements to its channel lineup. To provide you with the best listening experience, XM converted all music channels to 100% commercial-free while adding 50 new channels.

XM recently announced an agreement with Major League Baseball to provide play-by-play coverage for every team, all season long, beginning this spring. In addition, we've added nine sports channels dedicated to ACC, PAC-10, and Big Ten college football and basketball, traffic and weather channels covering the top 21 markets, XM Public Radio featuring legendary journalist Bob Edwards and all-new music channels including Starbuck's Hear Music channel. We've also created exclusive music series like Artist Confidential and Then...Again...Live.

Beginning April 2, 2005, we will expand the basic service package to include two premium services at no additional charge — the High Voltage channel (previously $1.99/month) and XM Radio Online (previously $3.99/month). The monthly subscription price for our new expanded basic service will increase to $12.95 beginning April 2, 2005. The price change will not affect XM's Family Plan, which allows you to add up to four additional subscriptions for $6.99/month per radio.

Until April 2, 2005, we are offering our existing subscribers an opportunity to lock in today's lower monthly rate by selecting a one-year or multi-year pre-paid subscription plan, which provides significant long-term savings.

wormer · Post by **wormer** » Mon Feb 28, 2005 1:32 pm

Well, I guess XM isn't very "Sirius" about staying in business! HAHAHAHA!!!! Oh man...I slay me!!!

Redskins1974 · Post by **Redskins1974** » Mon Feb 28, 2005 2:05 pm

Sirius better quickly expand their subscribers if they want to be able to afford all these contracts their signing to stay in business.

They're spending a crapload on specific talent, while XM has much better music related programming, a better signal and owns their own satellites. Not to mention they've cornered the market on new car installations (Honda, GM, Acura, etc) XM isn't going anywhere. Sirius is becoming more of a niche service. Plus, I like Stern but the guy is in his mid-50s. He won't be around forever.

BossHog · Post by **BossHog** » Mon Feb 28, 2005 3:10 pm

Actually Stern just turned 51 but I get what you're saying...

... and I tend to agree on everything else. Sirius may be making bigger splashes but XM seems to be laying out a better business platform.

Skinsfan55 · Post by **Skinsfan55** » Mon Feb 28, 2005 3:32 pm

Damn, and XM just happens to have my beloved MLB :-\

My Dad gets free Sirius Radio because he works for Radio Shack and is on the road a lot, and I just wish they could carry baseball games... damn I hate this exclusive rights stuff!

BringThePain! · Post by **BringThePain!** » Mon Feb 28, 2005 3:39 pm

SIRIUS has Jim Breuer too... um... if anybody else likes him... :-"

General Failure · Post by **General Failure** » Mon Feb 28, 2005 3:41 pm

Would it kill Sirius to not have a commercial for Tony Hawk or Radio Bam after every song?

Redskins1974 · Post by **Redskins1974** » Tue Mar 01, 2005 1:36 pm

Also - most financial analysts see raising their fee's as a good thing for the long run (see the market yesterday and today - they've been way up despite a general downturn). Not to mention, they just lauched their third satellite last night with a forth on the way. XM has a MUCH better biz model for the long haul. If Sirius gets serious about the biz aspect instead of splashy signings, they both can compete and survive.