FCC Approves Satellite Radio Merger

Federal regulators formally approved the merger of the United States' only two satellite radio operators today, ending a 16-month-long drama closely watched by Washington and Wall Street. Sirius Satellite Radio Inc.'s $3.3 billion buyout of rival XM Satellite Radio Holdings Inc. will mean 18 million-plus subscribers will be able to receive programming from both services.

Executives say it will mean huge cost savings that will lead to a first-ever profit for the relatively nascent industry, the AP reports. The Federal Communications Commission voted 3-2 to approve the buyout, with the tie-breaking vote coming Friday night from Republican commissioner Deborah Taylor Tate. (More FCC stories.)