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Updated: 2:35 p.m. Tuesday, Dec. 27, 2005 | Posted: 2:08 p.m. Tuesday, Dec. 27, 2005

Satellite Radio Drawing Millions Of Subscribers


It began as little more than a high-tech curiosity, but satellite radio has now drawn millions of subscribers and has attracted high-profile radio talent.

KIRO 7 Eyewitness News Consumer Investigator Wayne Havrelly takes a new look at this new way of listening.

Michael Bunce of Seattle may drive a battered old Geo Prism, but he listens to state-of-the-art music in his car.

"I think it's the coolest thing since sliced bread," Bunce said.

And, it's commercial-free. Of course, satellite radio isn't free. It can cost several hundred dollars to equip your home or car with radios that can accept the signal, and there is a $13 monthly subscription fee.

MORE ON THIS STORY More from ConsumerReports.org XM Radio Sirius Radio

But for subscribers like Bunce, it's worth it.

"I can listen to any kind of music I want," he said.

And it's catching on big! Howard Stern is a big draw. He left commercial radio and starts at Sirius on Jan. 9.

"With someone as prominent as Howard Stern, this validates the whole concept of satellite radio," said Bob Peck, a financial analyst.

Also validating the concept is the fact that millions of listeners have signed up for the service, with more joining every day

Consumer Reports took a survey, finding plenty of satisfied customers.

Of the two, Sirius got higher marks for value. XM, on the other hand, rated higher for sound quality and signal strength.

When it comes to programming, each offers exclusive content.

Sirius will offer Howard Stern, and has National Public Radio and sports options such as the NBA and the NFL. XM has NASCAR, Major League Baseball and "The Power," an African-American talk channel.

And both services offer news and every kind of music you can think of.

The survey shows subscribers grumble about that monthly fee, but they don't plan to give up their satellite radio.

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