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April, 25th 2008

By Jeffrey Yorke

Maryland attorney general Douglas Gansler and attorneys general from Connecticut, Ohio and Washington have asked that the FCC block the proposed multibillion all-stock merger between Sirius and XM, citing anti-competition and harm to consumers. However, if the commission does approve the merger, the AGs urge it to require the combined entity to sliver off some of the total spectrum and make it available to a separate company that would offer diverse radio programming to the public for free.

The three-page directive, sent to FCC chairman Kevin Martin on Thursday (April 24), duplicates the March 27 letter sent to Martin by 10 other state AGs. Ohio's Marc Dann authored the first letter and he is a co-signer to the latest one.

The only entity that has made a pitch to lease satellite spectrum from a combined Sirius-XM is Georgetown Partners, a private equity operation based in Bethesda, Md., that has told Martin and other FCC commissioners, in person, that it is opposed to the merger but that should the deal win approval it would be willing to take a long lease on the spectrum and form a free, commercial-based satellite radio company. Only listeners already possessing satellite radio receivers would get the service, which Georgetown Partners promises will be richly diverse.

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source: Radio and Records
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