Dueling Fools: The Sirius-XM Merger

XM Satellite Radio (Nasdaq: XMSR  ) and Sirius Satellite Radio (Nasdaq: SIRI  ) were baking under the hot congressional lights yesterday. Like a young couple trying to sway their parents toward approving their union, the satellite-radio stars have come before the nation's lawmakers defending their right to merge.

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!

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.

Read/Post Comments (0) | Recommend This Article (10)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 522955, ~/Articles/ArticleHandler.aspx, 10/24/2016 4:34:40 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated Moments ago Sponsored by:
DOW 18,223.03 77.32 0.43%
S&P 500 2,151.33 10.17 0.47%
NASD 5,309.83 52.43 1.00%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

10/24/2016 4:00 PM
SIRI $4.18 Up +0.03 +0.72%
Sirius XM Radio CAPS Rating: **
XMSR.DL $0.00 Down +0.00%
XM Satellite Radio CAPS Rating: No stars
MSFT $61.00 Up +1.34 +2.25%
Microsoft CAPS Rating: ****
NAPS $2.64 Down +0.00 +0.00%
SNDK.DL $0.00 Down +0.00 +0.00%
SanDisk CAPS Rating: ***