In a small twist of irony, members of the National Association of Broadcasters are advertising on Sirius XM Radio. This is not necessarily new, but the advertising seems more frequent, and there also seems to be ads on the more expensive channels. Now before everyone jumps to the conclusion that terrestrial radio stations are advertising on satellite radio, I should inform you that it is television networks that seem to be buying up some air time.

Today on Howard Stern, there was an ad from NBC. The networks are rolling out their Fall line-ups, and it would appear that the ability to market to a national audience through satellite radio has some appeal. The NBC ad today featured the new Christian Slater series "My Own Worst Enemy", which the network has been advertising heavily on their own broadcasts in recent weeks.

With the merger complete, and the economy in hard times, one fat will always remain. Companies need to get the word about their product or service, and times like we are all facing now is perhaps the best time to do that.

Hearing NBC ads on Sirius is good for business. The caliber of advertiser seems to be improving, and that gives the ad platform for Sirius XM Radio more stability going forward. While I do not expect record breaking ad revenue in Q3, I do expect to see continued growth in that area of the business. No, ad revenue is not a huge component of the company financials, but seeing it improve is a sign that there are aspects of the satellite radio business model that have a measure of insulation against poor economic times.

Position - Long SIRI, No Position NBC