Sirius XM to Raise Subscription Rates

No set figure, time announced yet
Publish date:
Social count:
No set figure, time announced yet

Satellite radio users can expect to pay more. Sirius XM President/CEO Mel Karmazin has confirmed that the company plans to raise subscription rates once a three-year cap imposed by the FCC as a condition of merger approval expires.

He told analysts in a conference call explaining first-quarter financial results that the increase would be “more than inflation” and compensate the company for investing in content. Karmazin said Sirius XM hasn’t decided how much the increase would be or when it would begin.

It’s been lobbying the FCC to let the cap on the basic subscription price of $12.95 a month expire when the three years is up this July, saying it faces a much more crowded competitive media landscape now than in 2008 when Sirius and XM combined.

— Leslie Stimson