Satellite radio is a subscription-based service that broadcasts clear, static-free digital signals from orbiting satellites. The satellites bounce the signal to specialized receivers, commonly found in automobiles and home stereo systems. The receivers decode the signals, which are transmitted in the 2.3 gigahertz (GHz) “S” band and the 1.5 GHz “L” band of the electromagnetic spectrum. Most satellite radio services offer a wide range of music channels, plus news, sports, talk and comedy programming. The services are marketed with the promise of high-quality sound, and many channels are commercial free.
One of the main benefits of satellite radio is its coverage area. It’s a great option for road trips or for people who live in areas where AM and FM stations have limited or interrupted coverage. However, the cost of the equipment and ongoing fee are factors that consumers must weigh when deciding whether to go with this type of audio entertainment.
The first satellite radio company was called CD Radio, Inc. It bought the first two licenses to broadcast digital radio signals in a Federal Communications Commission auction, and leased space on satellites already in orbit. It also built a large facility in New York City to house multiple studios, a music library and other operations. In 1994 the firm changed its name to Sirius Satellite Radio, and a ribbon-cutting ceremony was held that included a performance by rocker Sting. The firm continued to build its network, and launched three additional satellites in the following years.
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