How about 50 channels of your choice from either XM or Sirius for $6.99 per month? The two companies also say you'll be able to add additional channels for 25 cents apiece. This is a far cry from the $13 a month Sirius and XM subscribers are paying now.

The companies are gunning to get this merger done before the year is out, and they're trying to calm down complaints that the result would be a monopoly, leaving a company that could charge whatever it wanted for its one-of-a-kind services. One thing we're wondering, though: What's going to keep this monopoly service from raising its prices as soon as it gets regulatory approval?

We're now paying $13 a month for Sirius Satellite Radio, and find that to be an excellent value, considering the high quality of its radio stations and high fidelity of its signal. For $6.99 per month, we're thinking this new service would be irresistible. No wonder old fogy radio companies are opposing this merger so strongly. Bring it on. [Reuters]

"After the merger, customers may elect to receive fewer channels at a monthly price lower than $12.95; substantially similar programming at the existing $12.95 price; or more channels ... at a modest premium to the cost of one service, and considerably less than the cost of subscribing to both services."

When challenged about pricing, Karmazin made a promise to the suits in the Senate:

Those antitrust hearings are still going on, where Wisconsin Senator Herb Kohl called out the Sirius CEO, saying the merger would result in "a fabulous monopoly" and "a real bad deal for consumers."

Karmazin tried to put out that fire by assuring the senator and his colleagues that the combined company's not going to raise prices. Sure, he says that now. Just like the kid says to daddy when he's begging for the Corvette keys, "I promise not to speed, really." – Charlie White

Sirius, XM to offer reduced price plan after deal [Reuters, via Yahoo News]