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XM Launches in Two Key Markets

XM Launches in Two Key Markets

XM Satellite Radio has begun service in Dallas/Ft. Worth and San Diego and has 400 subscribers.
Because it delayed its launch by two weeks due to the terrorist attacks, XM is accelerating part of its service plans to have receivers available in the southeast as well as the rest of the southwest within 30 days. Key markets that XM, receiver manufacturers and consumer electronics retailers have targeted for early sales include Los Angeles, Denver, Atlanta, Miami and New Orleans.
Alpine, Sony and Pioneer expect to have a total of 100,000 AM/FM/XM receivers shipped to retailers in time for the holiday shopping season.
While the nation has been in an economic slump, many analysts expect the slump to deepen due to the terrorist attacks as consumers hold off on big purchases this holiday season.
When asked by Radio World how economic factors might that affect the sale of XM’s service and its receivers in Q4, XM President/CEO Hugh Panero said XM’s service was a good product before the attacks and it still is. He said the company has to move forward aggressively. “To recede now would be a mistake.”
Nationwide launch is still slated for mid-November, as is that of rival Sirius Satellite Radio.