One of the FCC’s stipulations for allowing Sirius and XM to merge last July was a three-year price freeze on subscriptions, but that doesn’t mean subscribers won’t be paying more. Orbitcast reports that the average SiriusXM bill will go up approximately $2 a month, as satellite radio music royalty rate increases will be passed along to the consumer.
The charge will be issued as an additional fee rather than a simple subscription rate increase under terms allowed in the merger agreement after July 29, 2009. Until now, the broadcaster has been absorbing the rate increases. SiriusXM’s royalty rates, issued by the Copyright Royalty Board, are scheduled to increase annually until 2012.
Tags: Satellite Radio, Sirius, SiriusXM
Categorised in: Satellite Radio