Incorporation of HD Radio in satellite radio receivers should be ...
Incorporation of HD Radio in satellite radio receivers should be a condition for approving the XM-Sirius merger “to insure a level competitive playing field” between satellite and terrestrial digital radio, iBiquity Digital told the FCC in an ex parte…
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filing. The agency should require XM-Sirius to end and prohibit exclusives with suppliers, retailers and auto makers, the HD Radio developer said. IBiquity has “no formal position” on the merger, it said. However, major radio group owners with significant stakes in iBiquity have register vehement opposition to the merger. Ibiquity fears a combined XM-Sirius “could be in a better position to hamper iBiquity’s ability to introduce HD Radio technology into the marketplace,” it said. Exclusive XM-Sirius deals with auto makers “could serve as a barrier to iBiquity’s ability to sell HD Radio receivers to end users,” it said. XM and Sirius “may have used subsidies and incentives paid to the automobile manufacturers and their suppliers to discourage proliferation of HD Radio products,” and a merger could “exacerbate these problems,” it said, adding that a merged XM/Sirius would have a stronger economic position and more cash for subsidies and incentives. As sole provider of satellite services, the merged entity would have more leverage over retailers, car makers and suppliers, iBiquity said. “This combined satellite monopoly would be in a better position to act anticompetitively to exclude HD Radio products,” it said.