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XM Lowers Forecasted Subscriber Base, Sirius Stays Constant
XM Satellite Radio has lowered its subscriber forecast for the end of 2006 from nine million to 8.5 million, citing unexpected weakness in demand for its satellite radio service as well as potential legal losses from a recording industry lawsuit, writes the Wall Street Journal (subscription needed). XM had 6.5 million subscribers at the end of the first quarter.
Sirius has reaffirmed its subscriber forecasts for 2006. The company needs about 2.8 million additional customers by the end of the year.