New York — A report by a prominent economist and former Federal Communications Commission (FCC) commissioner found that the proposed XM Satellite Radio and Sirius Satellite Radio merger will not create a monopoly.
The report by Harold W. Furchtgott-Roth, which was sponsored by XM and Sirius, found that “It would be unreasonable to examine the proposed merger of XM and Sirius in a static environment that does not account for changing technology and market structure over both the short and long term.”
It also noted, “The FCC in many proceedings has facilitated the commercial availability of new technologies that compete with satellite radio and other services.” The report added, “It would be unreasonable for the FCC” to overlook this.
The report was filed yesterday with the FCC.
Earlier this month a report by Thomas Hazlett, the former Chief Economist of the FCC, also commissioned by XM and Sirius, was submitted to the FCC. It found a merger would benefit consumers.