Decision Signals Recognition of How Competitive and Diverse Telecom Content Delivery Has Become

After a delay of more than a year, the Department of Justice announced on March 25, 2008 it would not block the proposed merger of XM and Sirius. Although that is not the final step in the process, as the FCC must still give its blessing to the deal as this issue of Radio World goes to press, it served to remove a major stumbling block in the way of its progress. It also represented good news for the satellite industry as a whole on multiple fronts.

First and foremost, a black cloud of uncertainty hanging over the satellite industry since the proposed merger was first announced has begun to dissipate. A number of contemplated transactions that had been on hold awaiting the final word on the deal can now move forward.

Second, the approach taken and the final outcome reached by the Department of Justice represent major positive milestones for the industry.