DOJ decides capitalism works with respect to XM and Sirius merger
WHY DOES THE DOJ HAVE ANY SAY WHATSOEVER?
Even though the Department of Justice should have absolutely ZERO say in whether companies merge, at least they finally made a correct decision for once, albeit about a year late.
SIRIUS + XM FLIES!
The DOJ approved the merger of money-losing Sirius and money-losing XM satellite radio companies. When this merger was first announced over a year ago, it looked like it had a less than 5% chance of success; however, Mel Karmazin worked some kind of magic to get the DOJ to approve this merger.
Approved, but (of course) meddled:
You didn't think capitalism was going to be allowed to work all by itself? The merger was allowed by the DOJ only after Karmazin had to promise a la carte low-tier pricing for the masses, instead of being allowed to run his company as he sees fit. Hats off to Mr. Karmazin, though, this feat is nothing short of herculean given that the satellite TV companies (DirectTV and Echostar/DISH) were NOT allowed to merge.
Not over yet, FCC still to decide:
Now the FCC gets to weigh-in on the deal. If the FCC fails to approve this merger, they should be fired by the Executive Branch of our government. Is it possible the FCC can drag this out for another year? Probably shouldn't bet against it-- hurray for government!
Even though the Department of Justice should have absolutely ZERO say in whether companies merge, at least they finally made a correct decision for once, albeit about a year late.
SIRIUS + XM FLIES!
The DOJ approved the merger of money-losing Sirius and money-losing XM satellite radio companies. When this merger was first announced over a year ago, it looked like it had a less than 5% chance of success; however, Mel Karmazin worked some kind of magic to get the DOJ to approve this merger.
Approved, but (of course) meddled:
You didn't think capitalism was going to be allowed to work all by itself? The merger was allowed by the DOJ only after Karmazin had to promise a la carte low-tier pricing for the masses, instead of being allowed to run his company as he sees fit. Hats off to Mr. Karmazin, though, this feat is nothing short of herculean given that the satellite TV companies (DirectTV and Echostar/DISH) were NOT allowed to merge.
Not over yet, FCC still to decide:
Now the FCC gets to weigh-in on the deal. If the FCC fails to approve this merger, they should be fired by the Executive Branch of our government. Is it possible the FCC can drag this out for another year? Probably shouldn't bet against it-- hurray for government!
Labels: acquisitions, DirectTV, Dish, DOJ, Echostar, FCC, Mel Karmazin, merger, music, radio, satellite radio, Sirius, XM
posted by Q at 10:02
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