The stalky dock, which leverages iPhone OS 3.0's new hardware support (remember that?), plugs into your car's DC jack, which it depends on for power and support, and will run $120, not including the required subscription to Sirius XM radio. The companion app, which bears no resemblance to Sirius XM's previous radio app, simply sets your iPhone up as a radio controller. Mercifully, it's free. [AllThingsD]

SIRIUS XM RADIO INTRODUCES THE FIRST DEVICE TO RECEIVE LIVE SATELLITE RADIO CONTROLLED BY THE iPOD TOUCH AND iPHONE

XM SkyDock™ allows customers to enjoy live XM and "The Best of SIRIUS" in their vehicles using the iPod touch or iPhone

NEW YORK–August 26, 2009–SIRIUS XM Radio (NASDAQ: SIRI) today introduced XM SkyDock, the first satellite radio controlled by an iPod touch or iPhone. The XM SkyDock is also one of the first products to take advantage of the new hardware control capabilities of iPhone OS 3.0.

Designed for easy use through the existing vehicle audio system, SkyDock has a built-in XM tuner controlled by a free App that users download from the App Store. The App allows control of the XM tuner using the capabilities of the iPod touch or iPhone Multi-Touch user interface. SkyDock will also charge iPod touch and iPhone devices while listening to live satellite radio.

"XM SkyDock will allow millions of users to add live SIRIUS XM Radio capability to their iPod touch or iPhone while in their vehicle," said Bob Law, Group Vice President and General Manager, After Market Division, SIRIUS XM Radio. "XM SkyDock makes their favorite programming from XM and ‘The Best of SIRIUS' available to iPod touch and iPhone users anywhere they drive, coast to coast."

Listeners can use their iPod touch and iPhone to listen to all their favorite sports, talk, news, entertainment and commercial-free music programming, including Oprah Radio, MLB Home Plate, the PGA TOUR Network, Opie & Anthony, Bob Edwards, Jamie Foxx and Blue Collar Comedy. For the first time, subscribers can also listen to the complete "Best of SIRIUS" package, including Howard Stern and his two 24/7 channels, Martha Stewart Living Radio, SIRIUS NASCAR Radio, sports play-by-play and the Playboy Radio channel, all controlled by the iPod touch and iPhone.

Listeners can also tag songs they hear on XM's music channels for later purchase from the iTunes Store–including songs on XM's 24/7 artist branded commercial-free channels such as Jimmy Buffett's Radio Margaritaville, Elvis Radio, Eminem's Shade 45, The Grateful Dead Channel, B.B. King's Bluesville, Willie Nelson's Willie's Place, Siriusly Sinatra and Bruce Springsteen's E Street Radio. Other features include game alerts and sports ticker, artist and song alerts as well as a stock ticker.

The XM SkyDock is a perfect companion to the SIRIUS XM Premium Online App, which allows subscribers to receive SIRIUS XM's Premium Internet service on their iPhone and iPod touch when they are out of the vehicle and on-the-go, at home, or at the office.

XM SkyDock comes with SIRIUS XM's patent-pending PowerConnect™ technology, which simplifies Do-It-Yourself vehicle installation, working through the existing vehicle radio and making it easy to move from vehicle to vehicle. An Aux In Cable is a standard in-box accessory to facilitate Aux In connections in vehicles with Aux In capability. SkyDock's flexible stalk optimizes the iPod touch or iPhone placement in the vehicle. Customers can view the touch-screen interface in portrait or landscape modes. Accessories include Magnetic Mount Antenna and spacers to accommodate the various iPod touch and iPhone product generations.

XM SkyDock is compatible with iPod touch (1st generation), iPod touch (2nd generation), iPhone, iPhone 3G and iPhone 3GS. All models require iPhone OS 3.0 or later.

XM SkyDock will be sold in stores and will also be available at www.shop.xmradio.com with an MSRP $119.99 in fall 2009. The XM SkyDock App will be available at the same time.

This device has been granted preliminary approval by the Federal Communications Commission but is still undergoing evaluation by the Commission.

For more information on XM, please visit www.xmradio.com.

As we previously speculated, others who don't already have a subscription will have to pay $3 a month, which isn't so bad considering the original subscription is around 20 bucks. [Yahoo]

The exact details are unclear from the slides, but it appears that a $2.99 monthly streaming fee may apply. Additionally, there's a shopping cart in the app. Exactly what will Sirius XM subscribers be buying?

We're guessing more details will surface shortly, but what do subscribers in the audience think? Is this an progressive move from the company, or a somewhat sad, last ditch effort to stay alive? (My guess is that it's a bit of both, but if they think that subscribers will buy music a la carte for use in a single app, they are nuts.) [Sirius Investor via Silicon Alley Insider]

The reason for the cancellation is that the app still did not have official approval, possibly due to the fact that a first party app from Sirius itself is also in the App Store pipeline, but that is unconfirmed at this time. And so, since the app was in approval limbo, having not been approved or denied by Apple, the developers chose to fold.

Truly, a sad day for people who want streaming music on their iPhone, but for some reason haven't figured out how great Pandora can be. Still, it sounds like there's hope for an "official" app from Sirius XM. [StarPlayr via TUAW]

Even though service would have likely continued uninterrupted had the freshly-merged company actually filed for bankruptcy, Sirius XM's days of luring in top radio jock talent on big contracts would have likely been over. Now, thankfully, we can carry on without skimping on the Howard Stern. [NY Times]

With Sirius being so late to the party, the only question is whether the service is really worth paying for when there are so many good, free streaming apps out there like Pandora and Slacker. [Orbitcast via The Motley Fool]

Did your favorite channel get the axe? [Orbitcast - Thanks Travis and Tim!]

CEO Mel Karmazin, aka the dude who paid Howard Stern a retarded amount of money, said today that the merger didn't magically fuse together satellite capabilities. Says Automotive News:

Merging XM and Sirius technology and installing it in new vehicles could take as long as 15 years because of the new chips required and automakers' lead time.

Fifteen years—when your car will look like this. Karmazin said other stuff about the subscription business(es), most of it was equally depressing. (No chance of it spreading to Europe and Asia, for instance.) How long do you give satellite radio? I say dead in two years. [Automotive News (subscription required)]

If that's not enough acknowledgment of frailty, it has an microSD slot for you to add your own memory—and your own tunes. And although Best Buy says it's a Pioneer-branded player, these things are all developed by XM, and then licensed to CE companies when they need a branding boost. So it's not like the brand is any guarantee of actual Pioneer DNA.

If that's not bringing you down enough, it costs $280 before the 8GB memory card and XM monthly fees. Sorry, XM, but the revenues isn't charging a lot of money, but getting people to pay it. Good luck with that. [PopSci; Best Buy]

The Best of Sirius on XM
•Howard Stern (Howard 100, and Howard 101)
•Martha Stewart Living Radio
•Sirius NFL Radio*
•Sirius NASCAR Radio*
•Playboy Radio

The Best of XM on Sirius
•Oprah & Friends
•NHL Home Ice*
•The Virus
•Public Radio featuring Bob Edwards
•The PGA Tour Network
•College Sports and NBA

Anything you see missing? [orbitcast]