In their FCC filing Ibiquity states, “As iBiquity demonstrated in its comments, Sirius XM has a strong incentive and the ability to impair the introduction of HD Radio technology into the marketplace. iBiquity again urges the Commission to expeditiously initiate a proceeding to develop the appropriate rules that will ensure the market works properly and prevents Sirius XM from blocking the rollout of HD
Radio technology.”
Interestingly, this issue was addressed in the merger. Sirius XM Radio do not hamper Ibiquity from entering the market, Ford, BMW and others all offer HD as an option. Adoption of it seems slow, but is that Sirius XM’s issue? Ibiquity can play in the game, but to be a success, you have to have some game. Up until now it simply has not been demonstrated.
In their own recent filing, GM slams the HD argument in one fell swoop stating, “HD is already penetrating the automotive sector without a mandate. Several manufacturers are either currently offering HD or have announced plans to make HD radio standard or optional in future models. Nothing in General Motors’ agreements with Sirius XM inhibits our ability to offer HD radio.”
A substantial group of various disability organizations have come out in hopes of seeing mandated HD inclusion. The cite that the only fair way is equal access. Somehow, I think HD already has equal access. They can develop deals with anyone they want. Perhaps these organizations should be demanding that HD work free market deals with everyone.
The Minority Media and Telecommunications Council offers up an interesting stance. They state, “The Commission should require seamless scan AM/FM and HD Radio capacity in SDARS receivers because, without such a requirement, Sirius XM could use its satellite monopoly in the marketplace, the cost savings generated from the merger, and its relationships with equipment manufacturers and retailers to retard the growth of terrestrial services.”
Is satellite retarding terrestrial growth? impossible, terrestrial radio has 95% of the market! Just ask them. They will tell you! The comments fall on their face when you look at all of the advantages HD radio already has. It is terrestrial that has spent a decade trying to retard the growth of satellite!
In the end, if you boil everything down to it simplest form, it comes down to dollars. This is not about access, consumer good, or anything else. Who is going to foot the bill for HD Radio’s attempt at creating a new market. I say enough taxpayer money has already been spent, and taking money from SDARS is not an answer either.
position - Long Sirius XM
