Monday, June 16, 2008

The devil at work

After the prayers of Sunday, there is a return to the agnostic attitude reserved for weekdays.

On a windless Monday morning, the barometer rising while currently at 1007,6 hPa, the humidity at 70 % and the temperature at 7.38 am about 25 Degrees Centigrade. (77 F)

Another beautiful and peaceful day in Baja California, Mexico.

In the margin of this gay existence the news has come that it is likely that the two companies offering satellite radio in the USA, Canada and parts of Mexico will be allowed to merge.
To create a monopoly.
These days we have Sirius Radio with 8.3 million subscribers and XM Radio with 9 million subscribers.
Sirius wants to take over XM for 5 Billion Dollars but has been stopped until now by lack of approval of the FCC (Federal Communications Commission).
And there is intense opposition from the land-based radio industry and most consumer groups, who say the deal will create a monopoly.
And consequently brutal exploitation of the consumers.

The satellite radio deal has also drawn an unusual amount of scrutiny from Capitol Hill, where the National Association of Broadcasters has fought an expensive advertising and lobbying campaign to block approval.

But guess what, the shareholders of Sirius and XM are in favour of the deal.
And the Justice Department has already approved it.

Now, the Chief of the FCC, Kevin Martin, has come forward to say that he recommends approval of the merger and the monopoly.
Leaving the other four commissioners of the FCC behind.
They, for the most part, keep their views on the deal to themselves.

FCC Chairman Kevin Martin

FCC chairman Kevin Martin is not a democratically elected official although he decides about matters concerning the general population of his country.
Chairman Martin was nominated by President George W. Bush to a Republican seat on the Commission, and was sworn in on July 3, 2001.
He was designated chairman by President Bush on March 18, 2005. Chairman Martin was re-nominated for a second term as commissioner and chairman by President George W. Bush on April 25, 2006.
Martin is therefore a political appointee and is most likely not to speak for himself but for the interests of the political party he is representing.
A political party always defending the interests of business and money.
A political party recently allowing oil companies to make windfall profits while millions and millions of good Americans suffer of high gasoline prices.

FCC chief Kevin Martin is saying: "I am recommending that with the voluntary commitments they (the companies) have offered, on balance, this transaction would be in the public interest."

Martin doesn’t explain what is exactly in the interest of the public when Sirius and XM merge.
And of course he will not be responsible if the two companies do not stick to the voluntary commitments they promise to make.

One of those promises is that Sirius will not raise rates for the next three years.
This cannot be true.
For sure somehow they will go up.
Both Sirius and XM have been making annual losses until now.
They were never profitable.
To this comes the 5 Billion Dollars needed to create the monopoly.

All Sirius and XM subscribers must realize that in the near future they will have to pay considerably more.

And that Kevin Martin is merged with the devil.


Kevin Martin invites people to send him an e-mail.


1 comment:

Anonymous said...

If neither company has ever made a profit, and, in fact, operate at a loss why is it that they should continue to offer you service at a loss? Of course, I expect the rates will go up now that there is no competition forcing them to operate at a loss in order to keep their subscriber base. I would rather pay more, and have some guaranty of them existing in two years. I hope the merger will help make them profitable. Now it will just be a matter of whether one wishes to continue paying for their service. Is it in everyone's interest that businesses that provide valuable services are profitable, or else they will cease to exist.