Sirius XM in bailout talks with DirecTV
By Nilay Patel 
posted Feb 11th 2009 11:01PM
posted Feb 11th 2009 11:01PM
Safe to say that satellite radio is far down the list of priorities for Uncle Sam's bailout bucks, so Sirius XM CEO Mel Karmazin pounded some pavement today, hitting up DirecTV and its parent company Liberty Media to try and save his bankrupted radio hydra. Apparently Smelly Melly isn't as hot for EchoStar owner Charles Ergan to buy Sirius XM out as was previously rumored, but there's a showdown brewing: Ergan's been busy taking control of Sirius XM's debt, so any deal with Liberty / DirecTV would result in feuding ownership interests. Making things even more interesting, it sounds like Ergan and Karmazin don't really get along, so this deal with DirecTV is basically his last shot at keeping his job. Desperate men do desperate things -- we'll see how this one shakes out.
Read - Reuters
Read - NYT
NOW WE'RE TALKING! Get er done MEL! This (if approved) would be a better match than the Dish, er DOUCHE Network!
Agreed, at least they're having talks with a reliable company, unlike Dish Network.
Dish worked well enough for me for the years I had it. Not sure what all this negativity is about folks.
Or did I stumble upon the satellite tv version of the Ford/Chevy Apple/PC rivalry?
I get this is a tech blog. but why the blatant anti Sirius postingg from this writer?
Why not come out and say how you really feel? Don't hold nothing back...
Ahh, why did GM put Sirius XM in my preordered 2010 camaro.
But hey - let's raises prices! That will surely get us new clients!
because!
.."If we're going down, we're going down together!"
So if DirecTV buys out SiriusXM, would we Dish Network subscribers still get out SiruisXM broadcast stations? I love listening to it while NOT doing my homework for college. I'd hate to see it go
I highly, highly doubt it. And why the hell would you have Dish Network? Do you just enjoy shitty service?
I don't see why not. As of now, SiriusXM provides syndication services for both DirecTV and Dish, DirecTV through a contract XM landed, and Dish through a contract Sirius had landed. Those contracts probably don't expire till the summer so you'd have it till then at the least if anything went down. Actually, it was a curious case to see who would get exclusive access to SiriusXM once those two contracts had expired, but since SXM is in the crapper we might not get to see that play out.
That said, DirecTV probably won't buy SXM as any purchase of the company would be charity at best. More than likely DirecTV is just in this to raise the price up for Echostar (Dish) so they take a greater net loss in all that money SXM owes them.
Good to know Mel values his job more than the stockholders investments
The value of stock in a bankruptcy is zero.
This is awesome news. Good for them.
Maybe directv and dish should merge, then buyout siriusxm. That would make the most sense.
You forgot to add a "/sarcasm", right?
Dish tried to buy Direct a few years back and the FCC told them no so it will never happen. Dish is the better fit as Charlie doesn't F around and is very focused on the customer. Now I have to watch the Charlie Chat.
Scared bastard, Karmazin knows that once Charlie takes control he is going to fire his ass. That is exactly what needs to happen, bad management was a part in the company's downfall.
Amen to that. Had the merger not happened, over the next few months, I think you would have seen XM nearing profitability, or at least at a point where refinancing the debt would be less of an issue than it is now. Sirius would be burdened with its overpriced talent deals, the largest of which has left than two years left, and you'd have to be delusional to think there's any chance of seeing it extended in any way or at any price. And I would have hoped by now the way Sirius counts unsold cars on lots as subs, and all their other shadyness with subscriber counts, as those are clearly done that way to mislead investors as to the actual situation at hand.
Either way Mel, you suck.
Do any of you actually use or have Dish Network?
I have it, and the service is great, it has more HD channels than DirecTV, and it has better set-top boxes. Some of my relatives have DirecTV and hate it. I've used it, and, for one, the navigation and the set-top boxes are terrible (unless you spend oodles of money on the TiVo), and the service is shitty, from what I've heard.
I have DishNetwork also and I am very happy with my service.
Ummm..."get a long?" Not "get along?"
Wow. I have Dish, I love it. Service is great, channel selection is great, HD is awesome, and the DVR rules. Direct couldn't keep a signal, and it cost a lot more. Dish is the clear winner as far as I'm concerned.
Jeez, now we have Direct and Dish fanboys? Should we get the Coke Pepsi one going here too?
RC Cola.... :) I like Coke too, but I also like RC and the not-cola favorite Dr Pepper.
RC RULEZ!
:p
The tom leykis show killed stern ,.leykis rules ,.take me out with a Screaming orgasm!!!!!
tom who?? I don't subscribe to listen to a "Tom"...
Hopefully we can get 202 The Virus back on D* FFRRUUUUNKISSSSS
So as a DIRECTV subscriber, does that mean I get free Sirius/XM from the deal? I'm all for it if that's what happens.
You already get free XM, or did you forget the music channels.
I can see it now...if Charlie had Sirus / XM -----
We really tried to keep the 80's on 8, but the 80's simply wanted too much money to stay on-line. You can still listen to the 70's on 7 or the 90's on 9 as they broadcast, pretty much, the same programming. We're just "looking out for our customers" to keep your price as low as possible.
Note to self...
If the CEO of a company is trying to leverage a buyout of a company...maybe that CEO is making alot more money than he is "saving" his customers....
oh, a stray puppy!.
U_U
Goodbye SiriusXM!
A great idea executed under a very bad business model equals an idea that will go away!
Bankruptcy does not mean the company is worthless. Chapter 11 gives the company time to reorganize. Many companies have come out of reorganization to be worth something.
I have subscribed to Sirius/XM or just Sirius before then for about three years now. I don't drive anywhere without it and listen to the streaming feed on my computer at home. It's a shame it is a business model that just doesn't work. Local radio and their constant 'Wacky Waving Inflatable Arm Flailing Tube Man!' like commercials and other drivel suck by comparision. I hope something happens to save it, but I am not optimistic.
Howard is now officially boring.
O&A were funny back in 2001. Not anymore.
Tom Leykis is a douche and his new voice is annoying.
Thankful for the ipod and other forms of free radio now.