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XM Satellite Radio

XM Satellite Radio is a satellite radio service in the United States that provides digital programming directly from two satellites (nicknamed "Rock" and "Roll") in geostationary orbit above the equator, and a network of ground-based repeaters. It is based in Washington, DC.

XM's business model is to provide pay-for-service radio, with commercial-free music channels, analogous to the business model for premium cable television channels. They also provide other data services such as weather information for pilots and weather spotters. They also transmit coded traffic information directly to navigation systems using TMC technology. As of January 2003, revenues have been lower than expected, and the company has needed to refinance. Their service includes 68 different music channels, 33 news, sports, talk and entertainment channels, and 21 regional traffic and weather channels. The XM signal uses 12.5 MHz of the S band: 2332.5 to 2345.0 MHz.

XM's competitor in the U.S. is Sirius Satellite Radio.

On August 11, 2004, XM's subscriber base broke the 2.5 million mark. XM-capable receivers cost $50–200. Monthly service fees are $10 for the first receiver, and $7 each for up to four additional receivers on the same account. The company has partnered with Acura, Audi, General Motors, Honda, Isuzu, Nissan, Toyota, Volkswagen, and SAAB to offer in-dash XM receivers on an OEM basis. As of January 2004, XM is the leader in the satellite radio market.

The combination of two satellites and the ground based repeater network is designed to provide gap-free coverage anywhere within the continental U.S. Unfortunately, both the XM-1 and XM-2 satellites are suffering from a generic design fault on the Boeing 702 series of satellites, which means that their lifetimes will be shortened to approximately six years (design lifetime of 15 years). XM-3 will need to be launched in 2004 to ensure continuation of service, and procurement of XM-4 will need to be advanced by several years. It is believed that XM was issued a credit by Boeing on the new spacecraft.

XM Satellite Radio makes the majority of its stations available on the Internet, for an additional subscription fee of $8 monthly for those without an over-the-air account and $4 monthly for those with an over-the-air account.

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