DOJ Approves Sirius/XM Merger
March 24, 2008 at 12:47 PM (PT)
The Justice Department has approved SIRIUS SATELLITE RADIO's $5 billion buyout of rival XM SATELLITE RADIO. The merger was approved despite opposition from consumer groups and an intense lobbying campaign by the land-based radio industry. Regulators said the merger is not likely to substantially hurt competition or consumers.
The FCC has yet to approve the merger, although Chairman KEVIN MARTIN indicated last week (NET NEWS 3/21) it was close to happening.
To read the full DOJ statement, click here.
Predictably, the NAB wasn't exactly thrilled with the decision. "We are astonished that the Justice Department would propose granting a monopoly to two companies that systematically broke FCC rules for more than a decade," it s statement read. "To hinge approval of this monopoly on XM and SIRIUS' refusal to deliver on a promise of interoperable radios is nothing short of breathtaking."