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Satellite radio is an alternative to free over the air AM/FM radio. However, as satellite radio becomes more popular, now reaching a few million listeners, it is important to know your options as a consumer.  Also, because when purchasing the hardware for satellite radio you are locking in to a particular provider and changing providers down the line could be costly.  Consumer Reports has written about satellite radio options in both the July and November 2004 editions. If you are considering buying satellite radio, you may want to consider the following:

  • Determine what your programming choices are.  Satellite radio currently has two major market choices.  Both options offer different programming packages. For example, Sirius Satellite Radio has NPR and 24 hour coverage of the NFL.   XM Satellite offers the Major League Baseball channel and NASCAR sports/talk. Both have more than 120 music, talk and news channels to choose from and both provide 100% commercial-free music. One of the draws of satellite radio is the exclusive programming.  Make sure that you are getting the programming that you want.
  • Consider how much you want to spend per month.  Sirius Satellite Radio offers monthly service packages from $12.95.  XM Satellite Radio offers monthly service packages from $9.99.  Both offer discount options for annual plans. 
  • Compare the start up equipment costs. Both Sirius and XM require special equipment – the new receivers can add up quickly.  How many rooms or radios do you want to make compatible?  Keep in mind, once you have settled on a service you are committed – to change companies you need to get all new hardware. According to the Consumer Reports July 2004 edition, although Sirius costs more per month, their equipment costs are slightly less.
  • Do you want to listen while you drive?  According to a report in the July 2004 Consumer Reports, in-car satellite radio reception is often better than in-home.  Many automobile companies are offering packages where the equipment and, in some cases, a year subscription, come with your new car. See each company's web site to learn about the options for buying satellite radio for your automobile.
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