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XM Satellite faced a similar ruling

Sirius this week announced that it instructed some of the OEMs that manufacture its radios to stop producing certain models that did not comply with FCC radio emission regulations. According to reports, the FCC was continuing to review some Sirius products and a decision had not been made on whether the products complied with all necessary regulations, specifically with regrad to electronic interference. Sirius however stated that it did not expect any negative impacts from the FCC decision.

DailyTech previously reported that XM Satellite Radio also undertook similar precautions with some manufacturers that produced XM radios. XM pulled several radios off store shelves and proposed new changes for the radios to the FCC. Unfortunately, the FCC ended up dismissing XM's changes and the products are still halted.

The FCC issues have affected both Sirius and XM since the announcements were made. Both companies have seen share prices drop. Since April, XM shares have dropped 40 percent while Sirius shares have dropped 14 percent. Both Sirius and XM compete head to head in the satellite radio space.




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