Sirius May Declare Bankruptcy

from the so-much-for-that-plan dept

Since I first heard about satellite radio, I found it hard to believe that they would find enough subscribers to cover their costs. It just didn’t seem worth it to me. However, plenty of people (sometimes here at Techdirt) told me I just didn’t understand, and that satellite radio was really “the next cable TV”. I think they almost convinced me… but I should have stuck with my instincts. Sirius, one of the two satellite radio players has announced that are probably going to have to declare bankruptcy after only offering their service for six weeks. In that month and a half they’ve signed up a grand total of (count ’em) 6,510 customers (who helped them generate a whopping $70,000 in revenue). They say they need $600 million to keep going. $600 million? In this market? With 7,000 customers and $70,000 in revenue? Seems like a tough sell.


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Comments on “Sirius May Declare Bankruptcy”

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2 Comments
Vik says:

Hmm.. lets to the math...

So each person brings about 10$/month revenue. They need $600 mil to keep going. The subscription rate with all the hype is approx. 1000 people/week. So it would take them about a 1000 years to get enough subscribers to generate needed revenue at this rate… Seems like a good candidate for f*ckedcompany list to me. 🙂

Dut says:

Sirius

I have been a loyal Sirius subscriber for over 3 years until last week. I had 2 Sirius accounts and 1 XM account. I have cancelled all 3 because of COST increases. My $30 per month cost was going to over $40 for the same services. rougly 38% cost increase.

Rumor has it you can get Sirius for Free. Don;t ask me how cause I won’t tell you.

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