The chairman of the Senate's antitrust subcommittee Tuesday blasted the proposed merger of the country's two satellite radio providers, saying it would create a "business colossus" that would raise prices for listeners."You have every right to ask
but it's another thing to grant you that permission to be virtually unrivaled, unchallenged in this whole area," Sen. Herb Kohl (D-Wis.) said at the third hearing on Capitol Hill over the merger. "What a business! I might quit this job to go into your business."
Kohl's strong criticism underscores the hurdles that Sirius Satellite Radio Inc. and XM Satellite Radio Holdings Inc. face in getting their merger approved by federal regulators. Although Congress has no formal role, Sirius Chief Executive Mel Karmazin, who would head the joint company, has not received a warm reception for the plan at any of the hearings.
Kohl has been the most outspoken critic. But Karmazin forcefully disagreed with Kohl's contention that Sirius and XM would wield monopoly power. He contended that traditional radio stations, iPods, cellphones and Internet radio provided enough choices for listeners.
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