Crews CEI comment of XM-Sirius Merger July 2007

Before the FEDERAL COMMUNICATIONS COMMISSION Washington, DC 20554 July 9, 2007 ____________________________________ In the Matter of ) ) XM Satellite Radio Holdings Inc., ) Transferor ) ) MB Docket No. 07-57 and ) ) Sirius Satellite Radio Inc., ) Transferee ) ) Consolidated Application for Authority ) To Transfer Control of XM Radio Inc. ) and Sirius Satellite Radio Inc. ) ____________________________________) Comments of the Competitive Enterprise Institute Clyde Wayne Crews Jr.* VP Policy, Director of Technology Studies Competitive Enterprise Institute 1001 Connecticut Ave., N.W. Suite 1250 Washington, D.C. 20036 Office: 202.331.1010 Direct: 202.331.2274 Mobile: 202.251.4298 2 1Comments of the Competitive Enterprise Institute: Contents • INTRODUCTION: ANTITRUST HEIGHTENS VULNERABILITY TO POLITICAL PREDATION • OPPOSING VIEWPOINTS, CHOICE AND DEMOCRACY SAFER IN A MEDIA-SATURATED WORLD • ANTITRUST’S SHERMAN AND CLAYTON FOUNDATIONS OCCUPY SHAKIER GROUND TODAY • THE ILLEGITIMACY OF EXTERNAL MARKET DEFINITION • SATELLITE RADIO DISADVANTAGES • COMPETITIVE MARKET ALTERNATIVES TRANSCEND OBVIOUS SUBSTITUTES • ORBITING AROUND THE REAL ISSUE: COMPETING SATELLITE PLATFORMS • ANTITRUST LAW “BARRIERS TO EXIT” IMPEDE NEEDED RETRENCHMENT • IMPOSED CONCESSIONS OR CONDITIONS ARE A FUNDAMENTAL ERROR • FCC PROCEEDINGS’ PROPER FOCUS • CONCLUSION Introduction: ...