Is Sirius XM About to Make Howard Stern the $120 Million Man?
They say that content is king, but for Sirius XM Holdings (NASDAQ: SIRI), the "King of All Media" is also king. Bloomberg is reporting that Sirius XM is closing in on a contract renewal with Howard Stern, the popular morning show host who has called the satellite radio provider home for the past 15 years.
Two longtime partners renewing their vows may not seem all that newsworthy, but it is in this case. Stern was a game-changer for what was then Sirius Satellite Radio in 2006. It was a lot smaller than rival XM when the deal was initially announced in late 2004, but by the time the two parties would combine in 2008, it was Stern's presence that financially made it a merger of equals -- with Sirius executives (not XM's) running the show.
Stern is Sirius XM. Losing him would be unfathomable, likely leading to a large dip in subscribers at a time when the audience count is already heading the wrong way for reasons outside the media giant's control.
Source Fool.com
