Satellite Radio Demand Difficult to Gauge
Satellite Radio Demand Difficult to Gauge
Satellite radio broadcasters are paying top dollar to attract new customers. So are investors in these fledgling companies, if their stock valuations are any indication.
In this market — largely a battleground between XM Satellite Radio Holdings Inc. (XMSR.O: Quote, Profile, Research) and Sirius Satellite Radio Inc. (SIRI.O: Quote, Profile, Research) — investors look to subscriber growth as the key performance measure, since both companies are still losing money.
The most optimistic forecasts call for the industry to boost subscribers as much as tenfold in the next five years.