Howard Stern jumps to satellite
Ending months of speculation, shock jock announces he's joining Sirius satellite radio in 2006.
NEW YORK (CNN/Money) - Howard Stern is taking his morning show to satellite radio -- a move sure to give the fledgling subscription radio business a
huge shot in the arm.
Stern announced Wednesday that he'll join Sirius Satellite Radio in January 2006 in what is being billed as a five-year, multimillion dollar
contract.
Calling satellite radio "the next big thing," Stern said on his morning show that commercial radio is no longer a safe haven for shock jocks like
him.
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"The Super Bowl did us in," said Stern, a reference to this year's half-time show when Janet Jackson exposed her breast during a live performance.
Viacom-owned CBS, which broadcast the game, was fined $550,000 last week for the incident.
Stern's jump, rumored for months, is a big win for Sirius and a major setback to Infinity Broadcasting, also owned by Viacom (VIA: Research,
Estimates), industry analysts said.
The Super Bowl episode touched off a public outcry about indecency on the airwaves and led Clear Channel Communications, the country's No. 1 radio
operator, to pull the "Howard Stern Show" off the six stations that carried it.
In a brief statement, Infinity wished Stern well. "We at Infinity have enjoyed our years with Howard," read the two-sentence release. Stern's
contract runs through the end of 2005 and he said he'll stay on Infinity stations until then.
To get satellite radio, consumers can buy the hardware or a product such as a car that comes with it pre-installed. Sirius, with more than 600,000
subscribers, then charges $12.95 a month for access to 120 channels. XM subscribers, now numbering more than 2 million, pay $9.99 a month for about
120 channels and an additional $1.99 for the "Opie and Anthony" show.
Industry analysts said other, lower-profile shock jocks are also in talks with satellite operators, but warned that calls to regulate cable and
satellite radio could grow, especially if Congress boosts indecency fines.
Awesome !!! except for the fact that I have XM satellite radio and not Sirius...