Hispanic Chamber Of Commerce gives Thumbs-Down to XM Radio & Sirius merger.
August 4, 2007
According to Radio & Records magazine, the Hispanic Chamber of Commerce has sent a three-page letter to the Department of Justice and the FCC detailing its concerns about the proposed $13.6 billion merger between XM Satellite Radio and Sirius Satellite Radio. The group — the largest advocate of Hispanic-owned businesses, representing some 2 million businesses in the U.S., Canada, Puerto Rico and Mexico — said, “We are concerned about the negative impact that the merger will have on Hispanic business owners and Hispanic listeners.”
The group says the merger could have an “expensive and negative effect on the Hispanic business community” and also suspects that advertising rates will increase along with subscription fees. It says it likes the proposal even less than it did the proposed DirecTV-DISH Network proposed merger because it will leave only one satellite radio operator, while the satellite TV merger would have at least left two competitors. The group urges the regulators to reject the proposal.
By Jeffrey Yorke
Courtesy of Radio & records magazine.
