Mel Karmazin tried to set the record straight today by saying that once Sirius purchases XM Satellite Radio Inc. their subscription cost will certainly not be more than $25.90, the price of two services combined. Mr. Karmazin never misses a chance to slide in a backhanded point about how great this merger is for consumers.
According to Mel there will be a “significant discount” once the companies do finally merge. When asked what’s “significant discount,” $10 or $2? Mel responded with “it looks like closer to $10 than $2.”
I am no genius but, I did the math and that means at least a $6 drop in the current subscription price. If we take what Mel is saying to heart and this new company can offer the same kind of great programming we have be enjoying for only $6.95 per month, the public is going to have no excuse to not make the change.