judge: this court is now in session. Mr. Donnelly I don’t see muscle13
courtroom doors fly open . . in bounds muscle13 . . powerwalking toward the bench
muscle: good evening your honor, muscle13 on behalf of sirius xm; I’m sorry I’m out of breath your honor, I just got back from the gym.
judge: are you ready to close muscle?
Muscle: yes your honor
Judge: proceed
A bit out of breath, muscle hurriedly walks back to general counsel table to retrieve his notes, a 4” thick black, loose-leaf, binder summarizing 17 years of internet radio history. Muscle picks up the binder, turns and paces off 3 steps toward the jury. He then stops, turns back toward general counsel, sets the binder down on the table, straightens his tie . . . and then calmly, without notes, approaches the jurors. Hushed courtroom . . . muscle starting out in a deliberately low tone . . he begins his closing argument
Muscle: A couple of things. The history is clear. Tyler has been pushing for Sirius XM to go heavy after the internet. I asked him to show me the business model that works. He couldn’t do it. For 17 years . . . 17 years, people have been searching for a successful business model for internet radio. If one exists, I haven’t seen it and neither has anyone else . . you heard the testimony about Mark Cuban . . you heard the testimony about Broadcast.com . . you heard the testimony about Yahoo and about AOL.
You heard testimony from my 6 year old nephew who runs his own internet radio company . . 6 years old . . . 6 years old . . . and he has 37 followers. It’s easy enough to do. Anybody can do it. And that’s the problem . . there are no barriers to entry . . over 1 million internet radio companies and no barriers to entry.
You also heard testimony about how the audience has become fragmented and how the proliferation of smartphones today is no different than the proliferation of PC’s in the 90’s. I asked Tyler to name me one person he knows who doesn’t have a PC. He couldn’t do it. I asked Tyler to name me one person he knows who doesn’t have internet access. He couldn’t do it. Of course not.
I asked Tyler to name ONE profitable company in the history of internet radio . . just one . . he couldn’t do it. That’s because there isn’t one.
I repeatedly asked Tyler how Pandora was going to make money. He wouldn’t answer my question. But that’s ok . . . we have Exhibit A-1 . . . Tyler’s own words in print. Recall what he said, “Toyota and Pandora Pairing Gives Insight on How Pandora Will Make Money – Will Sirius XM Emulate This Strategy?”
I direct your attention to the chart: http://siriusbuzz.com/toyata-and-pan...s-strategy.php
So THIS is how Pandora is going to make money? This is h . . .
Interrupted by Savery outburst . . . Savery screaming from counsel table
Savery: DON’T PUT F*CKING WORDS IN MY MOUTH!
Judge: bailiff remove Savery from the courtroom at once; jury will disregard Mr. Savery’s remarks
Savery: YOU’RE NOT G*DAMN SMART ENOUGH TO DO IT!
Judge: order . . . order in the court
Savery still screaming as being dragged from courtroom
Savery: MEL KARMAZIN SAID SIRIUS XM SHAREHOLDERS ARE A BUNCH OF ROOKIES. YOU KNOW WHAT? HE WAS RIGHT . . HE WAS . . . courtroom doors slam shut.
Judge: I’m sorry ladies and gentlemen. Muscle, please continue.
Muscle: thank you your honor
You’ll recall that I asked Tyler to tell me the EBITDA margin on internet radio. You heard his answer clear as day . . . he said he doesn’t care . . . . he said he doesn’t care (expletive deleted). Well investors in Sirius XM better care, you damn well better care because if Tyler has his way the EBITDA margin will suffer and the share price will drop.
Look, Tyler is a smart guy . . . but he just doesn’t understand the radio business. It’s not his fault . . . he just hasn’t followed it long enough. You heard me ask him to name one other radio company he has followed besides Sirius XM and you heard his answer.
You heard the testimony of Mel Karmazin. Mel Karmazin said “Internet Radio is NOT a business.” You heard the testimony of Bob Pittman. Bob Pitman said “Internet Radio is a feature” . . . a FEATURE!
Tyler Savery wants to keep reaching for the stars and the false riches of Internet Radio. I urge you to listen to the people who are actually in the radio business. Pay attention to Mel Karmazin; pay attention to Bob Pittman; pay attention to Jeff Smulyan. Internet Radio is NOT a business. I thank you for your attention.
Judge: thank you muscle. Ladies and gentlemen of the Sirius Buzz forums, the case is now in your hands. You may begin deliberations.
SIRIUS XM SATELLITE RADIO FORUM
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Originally Posted by MUSCLE13
