Satellite Radio Rivals On-Target for 2006 Subscriber Gains

06 October 2006

NEW YORK: Reuters reports that America's two satellite radio adversaries - XM Satellite Radio Holdings and Sirius Satellite Radio - both claim to be on-target in recruiting new subscribers during the year's third quarter.

XM says it has added more than 285,000 net subscribers in the period, claiming the growth to be in line with its forecast for full-year subscriber numbers. Rival Sirius is equally upbeat, saying it had signed more than 441,100 net new subscribers in the quarter, a year-on-year rise of 23%.

But gaining eardrums doesn't equate to profit for either contestant, both of which have yet to emerge from their ongoing immersion in red ink. Indeed, some Wall Street Jonahs say they will never do so unless they agreed to merge and share costs.

XM currently has around 7.185 million subscribers, Sirius 5.12m. Respectively, they aim to hit 8.2m and 6.3m by the year end.

Data sourced from USA Today Online; additional content by WARC staff