XM And Sirius Promise A La Carte Programming

Sirius Satellite Radio and XM Satellite Radio are pledging to offer a pair of a la carte programming options as well as six other plans if their merger is allowed by the U.S. government, the companies announced July 23.

One a la carte option would allow subscribers to choose 50 channels for $6.99, a 46 percent decrease from the current standard subscription rate of $12.95 that both companies charge per month.

Subscribers could add additional channels for a minimum of 25 cents apiece. A second plan would let subscribers choose 100 channels among either Sirius or XM programming for $14.99 per month.

Customers will have to buy a new radio to use the a la carte options, the companies said.

A la carte programming would be available within a year after the merger is completed, while the other programming options would be available within six months. XM and Sirius said that they will provide more programming plans, including details on two family-friendly options that would block adult-themed programming, when they file a joint reply comment to the U.S. Federal Communications
Commission (FCC) on July 24.

"The a la carte options and other packages unveiled today demonstrate that consumers will be the beneficiaries of this merger,” Mel Karmazin, CEO of Sirius, said in a statement. “The efficiencies of the merger will allow the combined companies to save hundreds of millions of dollars a year and give us the opportunity to increase the number of programming options available to subscribers.”