The Church Speaks to the State

With a blessing from God on the books, what can the F.C.C. say about the Sirius Satellite-XM Radio deal now?

The latest endorsement for the satellite radio mega-merger might not have come from the big man himself, exactly, but it did emanate from one of the most senior-ranking officials in the Catholic Church.

Cardinal Edward Egan, the archbishop of New York, penned an editorial in Friday's New York Post that blesses the pending proceedings between Sirius Satellite Radio and rival market-leader XM.

In the Cardinal's opinion, the union of the two satellite radio giants is a 21st century extension of the Catholic Church's long-standing mission to spread Christian messages to the faithful. "The Catholic Channel and Sirius Satellite Radio present a unique opportunity for the church to speak with people -- Catholic and non-Catholic alike," Egan wrote in the editorial.

The Catholic Church has a history of merchandising deals and corporate sponsorships, but endorsing this corporate merger may be a first. Egan admits it's "a topic that's far from the usual fodder for those of us called to serve the church."

Not surprisingly, XM and Sirius jumped all over the holy endorsement. "We are extremely pleased to receive support from such a highly regarded and influential spiritual leader," said Gary Parsons, Chairman of XM, and Mel Karmazin, CEO of Sirius, in a joint statement.

Faith-based channels are among the hundreds of programming choices offered by both satellite radio providers. Examples include The Catholic Channel and EWTN Global Catholic Network on Sirius, and Christian pop channel The Message offered by XM.

Egan joins a large group of companies that see the potential merger as a way to get their content to more people, and cheaper.

XM and Sirius announced in February that they would undertake a merger of equals, 20 organizations and businesses have filed positive comments with the Federal Communications Commission including the N.A.A.C.P. and League of United Latin American Citizens, American Trucking Associations, National Council of Women's Organizations, and the League of Rural Voters.

In order for the merger to go through, XM and Sirius will have to get the go ahead from government regulators including the F.C.C. - both companies expect to jump those hurdles and close on the merger by the end of 2007. And then they'll have a better idea if prayer works.

by Liz Gunnison

Photo by Dennis Van Tine/Landov