With all of the news surrounding the proposed merger between Sirius and XM, we often seem to forget that there are Canadian versions of these companies north of the border. Sirius Canada and XM Canada have been ramping up business for a bit over a year, and when the merger was announced there was a natural question as to whether the Canadian entities would also hook up.
Sirius Canada is privately held, and XM Canada is publically traded. One natural question would be who would acquire who. Sirius Canada has a very large subscriber lead, and XM Canada has the rights to the NHL going forward. Sirius Canada offers more channels, and XM Canada has a widely known CEO. Lots of situations, and lots of questions.
With all of this, it was announced today that the President and COO Steven Tapp of XM Canada is stepping down to pursue other opportunities. The move will be effective June 15th.
The big questions at this point are who will be brought on to replace Tapp, and did Tapp leave for reasons deeper than was indicated. Also, if there were discussions of attempting to get the satellite radio companies together in Canada, does this help or hinder the effort? It would seem that with greater momentum already, that Sirius Canada has now bolstered its case for a majority position.
Will we see satellite radio in Canada as a private company? Some interesting things to watch from the folks up north.
Tyler Savery – Long Sirius, Long XM, No Position XM Canada