Antitrust Group Urges DOJ to Oppose XM/Sirius

The American Antitrust Institute pushed the Justice Department to block the satellite radio merger.
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The American Antitrust Institute pushed the Justice Department to block the satellite radio merger.

The AAI describes itself as a non-profit, education, research and advocacy organization that promotes competition for the interests of consumers.

It urged the DOJ to file suit against the satellite radio companies “in order to prevent a monopoly in the satellite radio market and thus causing harm to consumers and other firms,” the group said in a letter.

Satellite radio alone is a relevant market; no other audio sources, including AM/FM radio, offer the nationwide coverage of satellite radio, content, features and the ability to aggregate demand, AAI said.

“There is substantial evidence that the merger would result in higher long-term prices, short-run increases in commercial time, less innovation and reduced program choice for consumers,” the group stated.

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