Sirius Satellite Radio chief executive Mel Karmazin heads to Capitol Hill today to talk about his company’s proposed merger with rival X-M Satellite Radio Holdings.
The two companies have controlled the satellite radio business since 1997. They are seeking a merger following several years of financial losses.
Both companies have signed multimillion-dollar contracts with content providers, and Karmazin says both companies struggle to attract enough subscribers to make money.
Karmazin is testifying at a public hearing called by a newly forced antitrust task force of members of the House Judiciary Committee.
The proposed merger faces review by the Federal Communications Commission and the Department of Justice.
Karmazin says satellite radio is facing stiff competition from Internet radio, music-downloading cellular telephones and other services.
