Serious Threats to Sirius Radio

Since its inception, satellite radio bragged that unique content represented a key competitive weapon in the crowded digital media market. Just last year, former rivals Sirius and XM spent a combined $446.6 million on programming and content alone. Sirius XM pays $100 million a year to shock jock Howard Stern and his team, for example, and $60 million annually to Major League Baseball. But as Web radio and mobile radio applications flourish, they are beginning to erode the value of Sirius's pricey content deals.