Xm Tops 1.68 Million Subscribers

Discussion in 'Mobile Electronics News' started by The_Ancient, Jul 4, 2004.

  1. The_Ancient

    The_Ancient Full Member

    XM Tops 1.68 Million Subscribers
    April 5, 2004 -- New York -- XM Satellite Radio reported greater-than-expected subscriber gains in the first quarter of 2004. XM Radio reported 320,000 net new subscribers in the fourth quarter on Thursday, up 230 percent from the same period last year, bringing the company's total subscriber rolls to 1.68 million. The company said it expects 2.8 million subscribers by the end of 2004.

    Analysts had expected additions of 259,000 in the quarter, which is typically strong due to activations of new radios given as holiday gifts.

    XM's competitor Sirius Satellite Radio said it plans to report first-quarter subscriber numbers with its first-quarter earnings, as is company policy. It expects to have one million subscribers by the end of the year.

    XM's strong subscriber growth bodes well for the industry, and some analysts said they would revise projections for the year based on the new numbers. While satellite radio's initial growth has been impressive, the industry is still looking for a growth driver to ensure the trajectory stays steep.

    About 50 percent of XM radios are factory-installed in cars. Both XM and Sirius have been looking to local programming and compelling radio personalities in order to boost the drive-time appeal of their services.

    Both services launched local weather and traffic information channels. This week, XM Radio launched a left-leaning talk channel, America Left, featuring humorists Al Franken and Janeane Garofalo.

    --Reuters