Skip to main content
Publish date:

What SiriusXM buying Pandora might mean for listeners

The purchase agreement is valued at a whopping $3.5 billion.

SiriusXM announced Monday that it has agreed to purchase Pandora for $3.5 billion. 

The blockbuster purchase of the streaming music giant boosts SiriusXM's audience to approximately 106 million listeners, comprised of 36 million satellite radio listeners and 70 million Pandora users, according to The Verge. 

No immediate changes to either service are expected as SiriusXM and Pandora will continue to operate as separate brands.

To insiders, the company merger has been long coming since SiriusXM invested in a 19 percent stake in Pandora last year, according to Recode's Peter Kafka

What does it mean for users?

Kafka says the "obvious play is to use Pandora’s digital reach to both market Sirius’s existing service and to eventually migrate some Sirius customers there."

The move should also help Pandora stay in the fight against competitor streaming services like Spotify, Apple Music, Google and Amazon. 

"The addition of Pandora diversifies Sirius XM's revenue streams with the U.S.'s largest ad-supported audio offering, broadens our technical capabilities, and represents an exciting next step in our efforts to expand our reach out of the car even further," said SiriusXM CEO Jim Meyer in a release

That last part is key as Pandora's digital presence will likely help generate listenership beyond the automobile for SiriusXM, assuming they eventually make their satellite radio programming available on Pandora.

It's also a power move in satellite radio's competition with traditional radio, which continues to struggle. Earlier this year iHeartMedia filed bankruptcy, and it's future is clearly centered on the digital world and the iHeartRadio app.

Follow Bring Me The News on Instagram.

According to Motley Fool, anyone who thought satellite radio was simply bridging the gap between traditional radio's eventual move to digital/online couldn't have been more wrong: "Satellite-radio consumption continues to grow as its fan base of well-heeled drivers relish the seamless access to premium audio entertainment to score their daily commutes."

Motley Fool notes that while growth is slowing it is still trending up for S

Next Up

Meeker County Sheriff's Office

Boy, 6, run over after falling off trailer in Meeker Co. tree farm accident

He was airlifted to Hennepin County Medical Center with internal injuries.

Target store

Target unveils deals for 2-day 'Cyber Monday' event

The promotion kicks off Sunday, November 28.

Screen Shot 2021-11-27 at 9.59.30 AM

Edina police warn of recent burglary trend targeting garages and vehicles

The Edina Police Department is increasing patrols in affected neighborhoods in response to the trend.

Screen Shot 2021-11-27 at 9.03.06 AM

Charges: Man shot Uber Eats driver making a delivery in Cottage Grove

Otis Donnell Shipp was charged with second-degree attempted murder after turning himself in on Wednesday.

Screen Shot 2021-11-27 at 7.36.14 AM

Waterfront hotel in Duluth sustains damage in kitchen fire

Authorities estimate the damage at around $75,000.

Screen Shot 2021-11-27 at 7.15.18 AM

Large groups of thieves target 2 Twin Cities Best Buys on Black Friday

It bears similarities to the flash-mob style thefts seen recently in California.

Karl-Anthony Towns

Timberwolves' winning streak snapped at five games

The Wolves' bid for their longest winning streak since 2014 came up short.

Screen Shot 2020-08-14 at 6.45.53 PM

Teen arrested over fatal shooting of 5-year-old boy in Brooklyn Park

Police say the teen was filming a social media video while handling a gun.

Joe Biden

President Biden coming to Minnesota to promote Bipartisan Infrastructure Law

Tuesday's trip follows passage of the $1.2 trillion Bipartisan Infrastructure Deal.

Kirill Kaprizov

Kaprizov gets into the holiday spirit to rout Jets

Kirill Kaprizov's four points led the Wild to a 7-1 victory.

Kirk Cousins

Coller: Cure to Vikings' disrupted season lies in an explosive passing game

The Vikings go to San Francisco knowing that a win would be a huge boost to their playoff hopes.

Related

Joe Soucheray, Patrick Reusse on their way out at 1500ESPN

"Garage Logic" will continue as a podcast, Soucheray says.

Soucheray, Reusse sign off 1500 ESPN one last time

Their final shows were Friday as the station makes big changes.

flickr - northfielder - minnesota sign - crop

The center of Minnesota is ... Rogers? Here's what that means

The population midpoint continues to move closer to the Twin Cities.

u.s. flag

What's open, what's closed on Veterans Day 2021

The federal holiday honors those who have served in the U.S. military.

Winstock

Winstock Country Musical Festival canceled, will return in 2021

The annual festival was due to be held June 12-13 in rural Winsted.