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Sirius|XM Soundwave Cafe General discussion about Sirius|XM.

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  #1  
Old 05-27-2009, 07:40 PM
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Default Music Royalty Fees

I see over at XMFan that's there's a post up from someone supposedly with XM saying SiriusXM is going to start charging a Music Royalty Fee, starting July 29th, the one year anniversary of merger approval.

It says $1.98 will be added each month on $12.95 subscriptions, making them $14.93/month. Multiple radios will be charged an additional .97 per month.

I'm not sure how they came up with $1.98, though. SiriusXM's music royalty fees are going up .5% from 6.0% to 6.5%. However, .5% on $12.95 is only .06....so not sure where they're coming up with the other $1.92 to make it $1.98.

They're allowed to do this. Even though they agreed to a 3-year price freeze....the base rate is staying the same. But they were allowed to pass on any increases in music royalty fees, which is what the rate increase would be for.

Last edited by MichaelC; 05-27-2009 at 08:00 PM..
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  #2  
Old 05-27-2009, 07:54 PM
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Good way to kill a company...

I'm glad I have two lifetime subscriptions...
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  #3  
Old 05-27-2009, 08:02 PM
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I edited my original post. They were already being charged 6%....and it's going up to 6.5%, so it's a 0.5% increase for SiriusXM....so, .06 per month should be added onto $12.95/month subscriptions...not sure how they've come up with a $1.98 increase.
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  #4  
Old 05-27-2009, 08:17 PM
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Maybe they want people to pay for their SAC's. Anyhow I see this move as another way to lose subscribers and bankrupt the company
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Old 05-27-2009, 08:58 PM
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How does online radio get away with being nearly free (or free) and we have to pay an extra charge?...
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Old 05-27-2009, 08:59 PM
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Originally Posted by semipenguin View Post
How does online radio get away with being nearly free (or free) and we have to pay an extra charge?...
I dont know but it is a load of crap, now this will not cause me to drop Sirius, but if we have commericals on the music stations then I am finito.
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  #7  
Old 05-27-2009, 10:05 PM
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They are allowed to do it by terms of the merger. Whether they will is another story. I wouldn't necessarly believe they will. It wouldn't make economic sense.

I also wouldn't count anything I read on XMFAN nowadays as fact. There are a lot of glasses are half empty people over there.
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Old 05-27-2009, 10:13 PM
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They are allowed to do it by terms of the merger. Whether they will is another story. I wouldn't necessarly believe they will. It wouldn't make economic sense.

I also wouldn't count anything I read on XMFAN nowadays as fact. There are a lot of glasses are half empty people over there.
Once it is on Orbitcast I will belive it but right now it is bullshit at its finest
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Old 05-27-2009, 10:35 PM
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Originally Posted by semipenguin View Post
How does online radio get away with being nearly free (or free) and we have to pay an extra charge?...
The more important question is why do FM stations get away with not paying?
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  #10  
Old 05-28-2009, 09:29 AM
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I can't imagine this being true. Sirius really can't be this stupid. If Sirius thinks they are losing subs now, put this in place and you will see a mad rush for the exit. After that, Mel can just put the closed for business sign on the door.

I know it might not effect the die-hards on this board but the vast majority of Sirius subs are not on this board.
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