Karmazin Criticizes Personalized Radio On SiriusXM Conference Call
November 2, 2012

On yesterday's third quarter earnings conference call, SiriusXM's outgoing CEO Mel Karmazin took a shot at personalized Internet radio services such as Pandora. Billboard.biz notes that Karmazin did not mention Pandora, or any other service, by name, but said that such companies are in a "race to the bottom in terms of business model." He continued, "those companies which can grow users and provide good customer experience usually have the worst business models." Karmazin added that to fix their business models, such companies require "a whole lot more commercials, and that means harming the customer's experience."

However, SiriusXM is moving ahead with its own personalized online music service, which it hopes to launch by the end of 2012. Karmazin said the satcaster is launching the service, "not because we think it's good business," but because their customers wanted it, according to Billboard.biz.

As reported yesterday, SiriusXM's revenue was up in the third quarter of the year by 14 percent to $867 million from Q3 2011's revenue of $763 million. However, net income fell from $104 million to $75 million, including a loss on extinguishment of debt of $107 million in the third quarter of 2012.  Adjusted EBITDA for the third quarter of 2012 was $245 million, up 24 percent from $197 million a year ago.

Karmazin announced last month that he will step down as CEO of SiriusXM, effective February 1, 2013.




 
Breaking News
Broadcast Music, Inc. Reports Record-Breaking Revenues Of $977 Million
The Week In Review: 9/15-9/19
106.7 The Beat Comes to Columbus
In Brief - September 19, 2014
September 18, 2014
Cat Collins Joins iHeartMedia's National Programming Platforms Team
TT Torrez Joins HOT 97/New York As Music Director
In Brief - September 18, 2014
September 17, 2014
Charese Fruge Named VP, Programming, CBS Radio Las Vegas
iHeartRadio Music Festival To Stream, Broadcast Live Across Multiple Platforms Nationwide
KDKB/Phoenix Becomes ALT AZ 93-3, Arizona's Alternative
Report: U.S. Advertising Expenditures Increased 0.7 Percent In Q2 2014
In Brief - September 17, 2014
September 16, 2014
Clear Channel Rebrands As iHeartMedia
Nielsen Releases Radar September 2014 Network Ratings
Republic Records Restructures Media Department, Adds Key Executives
NRG Media Names Erica Dreyer Director Of Integrated Media
In Brief - September 16, 2014
September 15, 2014
WLUP-FM/Chicago Takes Fresh Direction With New Weekday Line-up, Nationwide Talent Search
CCM+E San Antonio Names Don Gosselin PD For KAJA, KRPT
Justin Wittmayer Appointed VP/Market Manager For Cumulus San Francisco
BIA/Kelsey Releases New Study On SMB Social Media Usage
In Brief - September 15, 2014
September 12, 2014
Republic Records Names Rick Krim EVP, Artist Development
BIA/Kelsey Releases New Study On SMB Social Media Usage
The Week In Review: 9/8-9/12
Music News
Jennifer Hudson Talks New Album
The Week In Review: 9/15-9/19
Quick Hits: Queen, Freddie Mercury, Michael Jackson, Foo Fighters, JLo, Iggy Azalea,
U2, Apple Partnership Has More In Store
Quick Hits: Metallica, Kanye West & Lorde, Dr. Dre, Paul McCartney
FMQB Photo Pass: Steve Winwood & Tom Petty
Quick Hits: Lecrae, Bruce Springsteen, Jessie J
Taylor Swift Talks 1989
Quick Hits: Katy Perry / MTV EMAs, Icona Pop, Whitney Houston, Manchester Orchestra, Mary Lambert, K. Michelle
One Direction Says "Steal My Girl"
Quick Hits: Beyoncé & Jay Z, Neil Young's Bridge School Benefit, Bon Jovi, George Harrison
Quick Hits: Gwen Stefani, Iggy Azalea, Demi Lovato, Calvin Harris, Ellie Goulding, Kendrick Lamar
U2 Already Plotting Next Album?
The Week In Review: 9/8-9/12
Quick Hits: Madonna & Alicia Keys, Kanye West, Ariana Grande, iHeartRadio Australia Music Festival, Stevie Wonder
FMQB NOW

Marissa Lanchak
APD/MD
WFLY/Albany

Advertisement:
Search FMQB.com
Advertisements:
FMQB Member Login
Email:
Pass:

Save
Not a member yet?
Sign up Now!
Sign Up for Breaking News!
Enter FMQB E-Tracking!