"If there are two major satellite radio providers, each one will try to outdo the other. Prices will remain fair and they will both continue to improve."
Actually, competing with each other has made things worse for both companies as they have been forced to sign huge contracts in order to have exlusive content. This has caused both companies to be running in the red.
Without a merger, one of these companies will fail and we will be stuck with only one anyway. without being able to absorb the assets of the failed company, the remaining one will be forced to raise prices.
Reader Comments (Page 1 of 1)
LC @ Mar 6th 2008 9:49AM
"If there are two major satellite radio providers, each one will try to outdo the other. Prices will remain fair and they will both continue to improve."
Actually, competing with each other has made things worse for both companies as they have been forced to sign huge contracts in order to have exlusive content. This has caused both companies to be running in the red.
Without a merger, one of these companies will fail and we will be stuck with only one anyway. without being able to absorb the assets of the failed company, the remaining one will be forced to raise prices.