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SATELLITE RADIO Will Motorists Pay For Personalized Radio?(A)(Internet & Technology)

Investor's Business Daily

| January 03, 2001 | COPYRIGHT 2001 Investor's Business Daily, Inc. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

WASHINGTON (AP) - Tired of endlessly fiddling with the car radio dial to avoid commercials, improve reception or find a good song?

The remedy could be radio's response to cable TV: a subscription satellite service that beams 100 channels of music, news and other programming to cars - and eventually homes - with coast-to-coast coverage.

Two companies are launching pay satellite radio in the new year, hoping to givelisteners more variety, better

sound quality and fewer commercials. Reggae lovers will have their own channel. Country and rock fans will have multiple choices.

Analysts say it will take a few years for the service to make inroads in the radio marketplace. Traditional broadcasters argue that consumers won't pay for what they can get for free.

But the new industry players disagree.

Today, listeners have "one channel for all things," said Dave Logan of XM Satellite Radio, one of the two new companies. "I have all channels for all things."

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