A lot is riding on this. You can't just run away and elope in the corporate space.
Sirius CEO Mel Karmazin argued the obvious: The consumer would be better off with broader programming choices, and the resulting company won't be a monopoly given the new technologies springing up just about everywhere.
He may have a point. Companies such as Napster (NASDAQ:NAPS) and Audible (NASDAQ:ADBL) are aggressively marketing their audio subscription services. Any radio station can stream online or broker a deal for wireless handset broadcasting. Companies such as SanDisk (NASDAQ:SNDK) and Microsoft (NASDAQ:MSFT) will sell you portable players that allow you to create your own audio programming.
I still don't think the deal will pass. So when Tim Beyers let me know that he thinks the deal will ultimately clear the regulatory hurdles, I smelled a duel.
Where do you stand? That's what this duel is all about.
Duel on!
- Read the bull argument
- Read the bear argument
- Read the bullish rebuttal
- Read the bearish rebuttal
- Rate XM or Sirius (or both!) at Motley Fool CAPS
- Vote for the winner
Microsoft is a Motley Fool Inside Value selection. XM is a former Rule Breakers pick.
Longtime Fool contributor Rick Munarriz does not own shares of companies mentioned here. The Fool has a disclosure policy.
