Imagine a radio signal that can travel thousands of miles to reach you with crystal-clear audio and few or no commercial interruptions. That’s the idea behind satellite radio, a type of digital broadcast that transmits programming from satellites orbiting Earth to specialized receivers commonly located in cars and homes. Its reception range can span the entire country, and its transmission can be augmented by ground-based repeaters in cities where tall buildings might interfere with the signal.
A satellite radio service typically consists of a proprietary receiver and a subscription, which decodes the encrypted signals transmitted by the satellites to provide the listener with a wide variety of channels that offer music, news, sports, talk, and more. The sound quality can be superior to FM or AM radio, approaching the quality of a compact disc. Subscribers enjoy the benefits of commercial-free music and limited DJ interruptions, among other features.
Sirius Satellite Radio was the first company to launch a satellite-based radio service in the United States. Its roots go back to 1990, when ex-NASA engineer Robert Briskman founded a Washington, D.C.-based firm called CD Radio, Inc., with the help of a group of former employees from Geostar, a satellite messaging company. The firm obtained an FCC license to broadcast digital radio signals, purchasing it in an auction for $83.3 million. In 1999 Briskman hired Mel Karamzin, a businessman who had built Infinity Broadcasting into a major force in radio, to serve as CEO. That same year, the company began offering its services in cars through a deal with General Motors and expanded into rental car companies like Hertz.
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