Despite the fact that the two competing satellite radio companies in the U.S. have merged, to create the combined Sirius XM service, their namesakes in Canada are both continuing strong and independent of one another. XM Canada has reported a 40 per cent growth in paying subscribers, and 39 per cent growth in total revenue for Q2 2009 versus the same quarter last year.

XM Canada, which is owned by Canadian Satellite Radio Holdings Inc., reports that the number of self-paying subscribers to its service increased from 251,400 in 2008 to 351,200 in the second quarter of 2009, which ended February 28, 2009. Operating profit grew to $0.3 million from a loss of $1.6 million in the previous year; and net loss (before foreign exchange gain/loss) jumped 10 per cent to $2 million. Revenue increased $3.6 million to $12.8 million.

President and CEO Michael Moskowitz calls the results "encouraging considering these challenging economic times," adding the expectation that subscribers will continue to grow by approximately 40 per cent annually, "despite the economic environment."

In addition to consumers buying standalone, plug-and-play satellite radio receivers for their cars or homes, XM has also forged several deals with car manufacturers to offer installed systems and subscription incentives. For example, General Motors Canada recently announced its GM Total Confidence program, which includes a two-year paid subscription to XM satellite radio. Additionally, the service is available to subscribers through online streaming channels, through wireless radio on demand services, and via Air Canada flights.

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