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Jan. 9th, 2009 02:49:03 AM

3 Reasons for Sirius to Take the Interoperable Route

Tyler SaveryTyler Savery submits:

Now that an interoperable device has finally arrived in the form of the Sirius XM (SIRI) MiRGE, it is appropriate to think about the potential interoperable devices can bring satellite radio subscribers. For a long time, there have been those that thought interoperable devices would streamline the consumer adoption of SDARS by removing a barrier in deciding which service was the best to subscribe to. With the merger between Sirius and XM, and the consolidation of channels, much of that worry has disappeared. The MiRGE was a requirement of the FCC approval of the merger. Whether the company expands this concept beyond this radio (the requirement was to build and market an interoperable receiver, i.e. at least one) is unclear, but there are a lot of reasons to consider going the interoperable route.

1. Streamline The Retail Channel. While a decent selection of radio choices at various price-points is good, it makes little sense to do this with two distinct brands. Having the interoperable capabilities across all future radios would help eliminate shelf space, technical support, and overall consumer confusion. Consumers, when activating, can simply be asked which service they want as their base service. Those familiar with XM will choose XM, and those familiar with Sirius can choose Sirius. The hard core fan can choose the full enchilada. Further, the sales reps at big box stores, who already seem ill informed, will have less to remember and digest when dealing with SDARS.


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