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Nonprofit Group Urges Department of Justice to Block XM-Sirius Merger

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Broadcasting & Cable, February 18, 2008
By John Eggerton

The American Antitrust Institute, a nonprofit that advocates an aggressive stance toward antitrust enforcement, recommended that the Department of Justice file suit against the proposed XM Satellite Radio-Sirius Satellite Radio merger.

Justice is currently considering whether or not to approve the deal, with the definition of the satellite-radio market a key component.

AAI argued that satellite radio, not generally downloadable audio in its many forms, is the relevant market and that allowing the only two satellite-radio companies operating in that market to merge would create a monopoly, the group said in a release Tuesday.

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