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Zip the lips: Satellite radio is all about music

By Michael Manning, Globe Correspondent

Admit it: You've grown accustomed to chatter on the radio. All-news stations, talk shows, even commercials fill the airwaves with words. Sure, you can slide in a tape or CD to escape it, but by and large, you've learned to live with talk as part of the radio experience, especially when you're behind the wheel.

That's about to change, thanks to satellite radio and its promise of channels filled with all music, all the time.

For consumers willing to plunk down $200 for a new car radio receiver, plus a $10 monthly service fee, both XM Satellite Radio of Washington, DC (www.xmradio.com) and rival CD Radio of Manhattan (www.cdradio.com) are hoping to change the way people think about music and driving.

Currently the only two companies licensed by the Federal Communications Commission to provide satellite radio service, both plan to provide largely commercial-free programming using competing satellite networks. Both companies are scheduled to launch their service within a few months of each other at the tail end of 2000 and the beginning of 2001.

XM Radio recently filed for an initial public offering and is in the midst of an SEC-mandated ''quiet period'' that prevents its employees from publicly commenting on the company's future. CD Radio, which has been public since 1994, recently filed for an additional round of funding, and is also in the midst of a quiet period.

Both companies believe consumers not only will like the lack of advertising on many channels, but also will be willing to pay for the high quality sound, coast-to-coast coverage, and wide range of choice that will be available among the approximately 100 channels of programming that both CD Radio and XM Radio will offer.

Of these 100 channels, both companies plan to devote about half to all-music formats while offering a range of news, sports, foreign language, and more traditional talk programming on the remaining channels.

Consumers will be able to buy a packaged adapter and antenna set that will enable existing car sound systems to receive satellite signals, or they can purchase fully integrated systems to replace their existing units, much like people currently upgrade car radios.

In late 2000 and early 2001, selected Ford models are scheduled to arrive from the factory with CD Radio receivers; XM Radio has a similar deal with a select, but so far unannounced, number of General Motors models.

Once consumers properly equip their cars with the antenna and receiver, and pay the subscriber fee, they'll be ready to start receiving programming. Beamed in the form of a data stream, both CD Radio and XM Radio will uplink programming from their respective studios to a satellite positioned near or above the United States. From the satellite, the data stream will be bounced back or reflected to a car antenna equipped to receive a satellite transmission. The antenna, in turn, moves the signal to the receiver, which processes and plays the music in digital quality sound.

Because satellite radio broadcasts will consist of data streams, and not traditional audio waves, each company plans to include more than just music as part of its package. As each song is played, the receiver could display the name and length of the song, the name of the artist, plus information about where to purchase the music or even tickets for concerts by that artist.

Although both companies project relatively inexpensive costs for consumers, each face steep development costs. Programming costs aside, each company is spending millions to implement a network of two (in the case of XM Radio) or three (in the case of CD Radio) satellites, enough to ensure that at least one satellite will be orbiting above North America at all times.

Additionally, both CD Radio and XM Radio need to develop a so-called terrestrial repeater network that will bridge the gaps in service that will exist in the so-called urban canyons in the downtown areas of virtually every major U.S. metropolitan area. These repeaters, which function similarly to the way cell phone towers re-broadcast signals to mobile phone users, will be placed on existing buildings or towers in upwards of 50 cities to ensure complete coverage.

CD Radio and XM Radio will compete in the satellite radio market (the receivers will not be compatible, so consumers will likely choose only one service or the other). However, satellite technology itself won't force listeners to give up their traditional AM or FM habits unless they want to.

So, as commuting times across the nation creep higher and higher, and as the consumer demand for convergence and choice continues to expand, will satellite radio strike a chord with drivers? Or will they still be tuned to talk radio, Top 40, or classic rock favorites?

Maybe someone will do a call-in show to find out.

Michael Manning is the Content Manager for Boston.com, the Globe's Web site. His e-mail address is mmanning@boston.com.



 


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