Zipcar, XM Part Ways

A two-year contract between XM and a company that rents cars by the hour in several cities has ended; it will not be renewed.
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A two-year contract between XM and a company that rents cars by the hour in several cities has ended; it will not be renewed.

The Boston Herald reports that Zipcar, based in Cambridge, Mass., sent letters to its members explaining that it is removing XM from its rental cars “while things get sorted out in the satellite radio industry,” referring to the proposed merger between XM and Sirius.

But a Zipcar spokesman also told the paper the removal of the receivers was a “natural evolution” since the contract had ended and that it had nothing to do with the merger.

Zipcar has car-sharing services in cities such as Washington, Chicago and Boston.

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