Apple Rejects Sirius for iPod

    February 9, 2005

Sirius Satellite Radio apparently wants to add its service to Apple’s iPod music player.

The companies have discussed such an arrangement, but Apple CEO Steve Jobs doesn’t see a need for the combination.

“Whether you put satellite radio in a cell phone, video game or MP3 player this could be an enhancement,” said Sirius CEO Mel Karmazin.

A Financial Times article points out that:

Satellite radio remains a small market in the US, but is expected to grow rapidly. A survey this week by JPMorgan of satellite radio subscribers showed that demand is still strong, with subscribers expected to increase to 35m by 2010. Sirius is predicted to reach 19 per cent market penetration, compared with rival XM Satellite Radio’s projected 35 per cent.

The main distribution method of satellite radio is in cars, with many manufacturers having agreements with Sirius or XM or both. XM, which was set up before Sirius, is also now being distributed via a wearable device. Mr Karmazin said Sirius would also introduce such an item “before the holiday season”.

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