Justice Department gives OK to Sirius buyout of XM

Oprah Winfrey and Howard Stern will be getting a little closer to each other on the radio if a major satellite radio merger gets a nod from the Federal Communications Commission. The Department of Justice approved the Sirius buyout of XM yesterday on the grounds that not many companies can compete with their satellite service even if they remain separate. The $5 billion merger will now go before the FCC, where many expect the commission to approve the deal without much difficulty.

Many critics of the deal say the monopoly will lead to higher prices, less innovation and redundancy as the networks fuse channel services. However, both services sit at brink of bankruptcy and promise they will provide cheaper a la carte channels if the deal goes through.

Related links:
XM.com
Sirius.com
Department of Justice's statement about merger

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