Satellite Radio has become a very popular alternative to broadcast
radio since its first release. It did take a while for the two
competitors of satellite radio, Sirius and XM, to begin gaining
customers. Equipment was expensive and bulky. There is also a monthly
fee for the service, where broadcast radio is free.
Satellite does have a few advantages against broadcast that helped it
gain momentum more each year. There are very few channels on satellite
radio that have commercials. This is very similar to premium cable
television like HBO or Showtime...they cost extra but have no
commercials. Another great feature Satellite Radio offers is quality
that you cannot find in broadcast radio. Satellite radio is a digital
signal that sounds cleaner and has virtually no static because with
digital signals you either have close to full quality or nothing at
all. Satellite also offers coast to coast coverage so you do not have
to search for a local station when you travel.
Recent technology moves have helped the receiver end of satellite radio
tremendously. Car manufacturers now offer satellite equipment built in
to new cars so that there is nothing to buy, just the monthly service
fee. Some car companies like GMC only offer XM capability, but many
companies offer you to choose either but not both. Car manufacturers
also offer much more high end stereos that can utilize the benefits of
a digital signal. They use this as a sales pitch to show how good their
stereos really are.
Satellite does have new competition that is broadcast for free like
analog radio. HD Radio will be broadcast by many local stations in the
near future offering better quality than satellite radio. This is much
like television stations that broadcast HD TV locally. There are still
commercials, but clear sound and music information about artists is
available by any HD Radio equipped stereo. Only the future will tell if
people are willing to shell out the dough to avoid commercials.