Posted on 01/09/2006 3:05:27 AM PST by Momaw Nadon
The biggest gamble in the short life of satellite radio hits the table at 6 a.m. today, as Howard Stern starts what he calls his creative rebirth at Sirius.
The most prominent morning host on commercial radio for 20 years, Stern joined Sirius because he says the FCC's vague content guidelines made it impossible for him to do his "real show" any more.
Because satellite listeners pay a monthly subscription fee, like cable TV watchers, the FCC does not regulate content - though Stern's arrival has amplified calls for such regulation to be authorized.
Stern's switch to Sirius, with his colorful promise of no-holds-barred radio, has triggered a tidal wave of publicity and raised at least two longer-term questions.
First, how much attention will he receive three, six or 12 months from now? While satellite's reach makes his show available everywhere, his initial Sirius audience will be only l5%-20% of what it has been on terrestrial radio.
Second, will he give satellite radio in general the promotional push for which Sirius and rival XM are hoping? Both Sirius and XM have bled billions of dollars in startup costs and routinely run multimillion-dollar quarterly operating deficits.
Sirius says it has committed half a billion dollars to Stern's show, and just last week announced he was getting a bonus of more than $200 million in Sirius stock.
Sirius clearly is counting on a windfall payback down the line, in subscription and advertising revenue.
Right at the moment, both XM and Sirius say subscriptions are running strong.
XM says it just passed six million and projects nine million by yearend.
Sirius says it ended 2005 with 3.3 million, many of the new ones Stern-driven, and projects six million by yearend.
That puts satellite listenership ahead of many past projections, which envisioned 20 million radios in service by 2010.
Some Wall Street analysts still see Sirius stock as a gamble, while XM seems to be generally regarded as a solid player.
If you are watching this from an investment angle, The key will be how long they are subscribing and if they renew subscriptions. in the same numbers or more.
You mean Howard's getting classier?
My wife bought Sirius pre-Howard and not because of Howard 2 Christmases ago. Overall, it's the best Christmas gift I've received since Strat-O-Matic baseball when I was nine.
Losing Fox news has dimmed my liking of it, but it's a great deal if you have to drive a lot.
XM with Fox News and Fox Talk is supposed to be pretty good, and I might switch to it...or get it and keep Sirius.
I got a Sirius radio for Christmas. Works great!
< Stern would be a turn off for me and I would have switched to the other network if I were pre Stern subscriber. >
It's what I would do also. I just can't support the guy.
What cansomeone do on a satellite radio, that you can't do on broadcast radio other than swear a lot and talk about sex?
You can talk without the oppressive censorship of the FCC.
Ban the FCC, not Howard Stern.
Whew! Who knew Pat O'Brien was such a perv!
I just turned his show on my Sirius, and it doesn't seem any different than his old show, just more curse words.
Mr. Sulu is gay???
The ironic thing is that I think a big reason for Howard's success was the FCC. Now with no adult supervision Howard's entire show will be just one big four letter word. My prediction is that he will lose audience because porn is no good without the pictures.
I bought Sirius for my husband 2 years ago before we took a cross country trip. He loves it and now keeps the Margaritaville channel on at all times. I will be forced to buy XM for me because I liked to listen to FOX news whenever I drove his vehicle. I hope FOX and Sirius get their problems worked out.
"Thus Spake Zarathustra rendered in flatulence."
ah....the Le Petomane factor.....
Sirius or XM? Not a hard choice anymore. If I go satellite, it will be XM.
Howard has been horrible and gone down hill, both in content and his ratings. since he got the big head over his movie, canned(because he is a cheap bastard) Jackie Martling, and left his wife.
Opie & Anthony on XM are much better than Stern anyway.
Stern is so 20th Century.
Now this whole thing is a commercial for Sirius.
Hey buddy, I've already subscribed, you don't need to sell me a product I already have.
And then Comcast can buy them both up. Yeah, that's just what we need-less competition in the marketplace.
You can be out in the middle of no-where, where no other service is available and listen to 100's of channels of news, sports and music.....SWEET!
Don't forget that now you can also pay a multi-millionaire to make fun of retarded people.
What a creative genius! Worth every penny.
The FCC is so 1984.
Once people try sat radio, they are hooked.
There's a lot to be said for never having to hear another GEICO commercial again in your life!
I thought his wife left him. I saw his movie on VH-1 this weekeend(it was on at 1 AM) and what a slimy snake he was to his wife.
Bingo!
And that, in a nutshell, is the business model. People are willing to pay for that. I know I am.
He just announced he remarried.
Ka-Ching! Back up the Brinks truck.
I got xm for Christmas. I have wanted Satelite for some time and finally took the plunge. I got xm instead of Sirrius because of WC racing and because Stern was on sirius. I use to listen to Stern, but I don't want to pay for that trash. Took my daughter back to college in SC this weekend-10 hour drive each way-xm actually made the drive tolerable.
Howard is just joking?
Not really married?
That's a pretty dang good basis for a business right there.
I heard Sirius had more football than XM so it was Sirus for my husband for Christmas. He loves it and he'll never listen to Stern.
I've tried it (in rental cars) and I enjoy it...but I have no intention of buying it.
I tuned in and found that he was asking the question "I wonder what black chicks smell like 'down there'....probably like watermelon".
That's all I need to know about his "talents".
And if that happens, the lack of competition will be incentive to pack their music with commercials.
But the monthly fee is subsidizing Stern even if you don't listen.I don't know if that would bother you,but it certainly make me feel uneasy.
Yes it bothers me but it doesn't bother my husband (so I got him what he wanted). Personally I would never have gone for it but then I'm the hard core right winger, not him.
Subscribers to both are also subsidizing Air America, Gay and lesbian channels, adult humor channels etc. I do not understand why having Stern on Sirius is more polarizing than the pre-existing fare.
XM is losing the NASCAR contract at the end of this year to SIRIUS. Like you I got XM for the NASCAR coverage, and will probably switch next year. With the NFL and NASCAR, SIRIUS will be hard for me to ignore.
Howard Stern = One of the reasons I chose XM.
XM, BTW, is very good.
Stern is an idiot, a perverted one at that and you watch, Sirius made a huge blunder when they made this deal with that big DORK, Stern. XM should go and try to get Rush now and you would see there stock really skyrocket. Stern is an immoral idiot created by the leftist media.
Air America is on XM = One of the reasons I chose Sirius.
Sirius, BTW, is very good.
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