Satellite Radio is Sirius Business
Topic Strategic Marketing and Planning
Key Words Satellite radio, marketing strategy, Sirius, XM
InfoTrac Reference A107039847
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News Story 

Satellite radio is an exciting new technology that promises to change the way we listen to music. Most radio signals can only travel about 30 or 40 miles from their source, and drivers have to change radio stations every hour or so as the signals fade in and out. With satellite radio, however, broadcasts can be transmitted from 22,000 miles away, coming through on your car radio with complete clarity no matter where you are.

Not only does satellite radio offer near CD-quality music beamed to your radio from space, but industry leaders XM Satellite Radio and Sirius Satellite Radio are ratcheting up big plans to develop unique radio programming options that will mesmerize traditional radio listeners. Since both Sirius and XM offer digital-quality channels at similar prices, top-quality programming is crucial for gaining competitive advantage. Each company is developing hundreds of new stations, each of which has its own programming focus-much like cable television.

While these two satellite radio pioneers battle for the number-one position in the market, ultimately it's the consumers that will decide which company offers the best listening experience.

Questions
1.

What is Sirius' strategy for competing against rival and XM Satellite Radio, and what has the company done recently to accomplish its goals?

Source Anita Jain, "New Executive: Taking radio seriously; Programmer must help Sirius catch up to satellite rival; talk shows on tap," Crain's New York Business, August 25, 2003, v19 i34 p4.
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