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Amazon Has A Deal For SiriusXM Satellite Radio Subscribers

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Aaron Pressman
Aaron Pressman
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By
Aaron Pressman
Aaron Pressman
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October 18, 2018, 11:03 AM ET
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“Alexa, play the Howard Stern Show.” That’s what more customers of SiriusXM’s satellite and online radio service, which includes the popular shockjock’s show, may be saying soon.

SiriusXM and Amazon on Thursday announced a new marketing partnership for subscribers accessing the 200-channel service via Amazon Echo devices.

New SiriusXM subscribers who own or purchase one of Amazon’s smart, voice-controlled devices can get three months free on the company’s $16 per month, online-only “Premier” service or $21 per month “All Access” plan, which also includes in-car listening. Customers who don’t have an Echo and sign up via SiriusXM’s website for at least six months of new service, or upgrade their current plan, can get a free Echo Dot, which normally sells for $50. SiriusXM subscribers who have an Amazon device can listen to the service by linking their accounts in Amazon’s Alexa app.

The deals bring together two leaders in different realms that are rapidly converging. Amazon (AMZN) has sold the most smart speakers, trailed by Google (GOOGL) and Apple (AAPL), which are frequently used to listen to audio content, including radio stations and podcasts. A survey released by Adobe last month found that listening to music was the top use for smart speakers, cited by 70% of owners.

SiriusXM (SIRI) has over 33 million subscriber accounts, mainly listening via about 110 million car radios that tap into its satellite broadcast network, though it has struggled to find new growth markets. Shares of SiriusXM, which have gained 17% so far this year, were down about 1% in afternoon trading on Thursday.

(This story was updated on October 18 to correct the number of subscribers at SiriusXM.)

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