The American Antitrust Institute on Wednesday said it is opposing Sirius
Satellite Radio Inc.'s $13 billion merger with XM Satellite Radio Holdings
Inc. The Washington-based advocacy organization argues that the deal cannot be
approved because satellite radio is a separate market. The two companies argue
that satellite radio is part of a much larger music market that includes iPods
and local broadcasters. AAI also points out that the Federal Communication
Commission, which is reviewing the deal, has a rule prohibiting the two
satellite companies from merging. A decision by the FCC to eliminate that rule
would go against the agency’s own guidance, which states that two rivals
lowers prices.—Ron Orol
See
announcement from AAI
See
related May 23 story from TheDeal.com
See
related April 17 story from TheDeal.com
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There are only 2 radio companies like this . If
they merge , there will be no competition. There will
be a monopoly & they can raise prices too much.
The FCC should stop the merger from happening.