XM Crosses 6 Million Subscribers, Sirius Passes 3.3

Sirius XM Logo
  • Save

The satellite radio industry was all set to change the way people listened to radio, and XM Satellite Radio was leading the way. As expected, the company crossed the 6 million subscriber mark in 2005, adding a whopping 2.7 million new subscribers during the year. This was a significant increase and marked a major milestone for the satellite radio provider.

The company had considerable momentum moving into 2006, and it projected a total of 9 million subscribers by 2007. The fourth quarter of 2005 saw more than 900,000 new subscribers entering, and 85 percent of those came from retail outlets. This was a logical outcome for the holiday period, and it also opened the door for considerable increases in automotive activations ahead. The company may also get a boost from a crop of new XM-compatible receivers that double as MP3 players, allowing users to bookmark songs for later download on the new XM+Napster service.

XM had the commanding numbers in the satellite radio industry, but Sirius was growing at a faster pace. The underdog provider now had 3.3 million subscribers, surpassing company guidance of 3 million for the end of 2005. The company revealed that it had added 2,173,302 subscribers in 2005 alone, landing at 3,316,560 just prior to January. This was a remarkable surge, reflecting growing excitement and hype ahead of the arrival of Howard Stern. Meanwhile, the company awarded Stern 34 million shares of its stock, a contractual reward for meeting its year-end subscriber goals satisfactorily. Stern began his first broadcast on January 9th, and it was set to be a game-changer for Sirius.

The competition between XM and Sirius was becoming more intense, with both companies offering unique content and programming to attract subscribers. XM had exclusive rights to Major League Baseball, NASCAR, and Oprah Winfrey’s new channel, while Sirius had landed the rights to the NFL and the NBA.

XM was also making significant strides in the automotive industry, with over 150 different car models now offering XM as a factory-installed option. The company had partnerships with leading car manufacturers like BMW, Honda, and General Motors. Sirius, on the other hand, had partnerships with DaimlerChrysler and Ford.

The satellite radio industry was evolving rapidly, and both XM and Sirius were investing heavily in technology and content to stay ahead of the competition. They were both expanding their offerings to include news, talk, and sports channels, and they were also investing in original programming to attract more subscribers.

Despite the intense competition, the satellite radio industry was still in its infancy, and there was significant room for growth. Both XM and Sirius were optimistic about their future prospects and were investing heavily to ensure their long-term success.

In conclusion, XM Satellite Radio had an impressive year in 2005, crossing the 6 million subscriber mark and projecting significant growth in the coming years. However, Sirius was growing at a faster pace, and the competition between the two companies was becoming more intense. The satellite radio industry was evolving rapidly, and both XM and Sirius were investing heavily in technology and content to stay ahead of the competition. The future looked bright for both companies, and it was clear that the satellite radio industry was set to change the way people listened to radio forever.