GM considers making XM radio standard

[Globalist]

Q&A: GM considers making XM radio standard

Automotive News / March 21, 2005

OnStar got a boost in January when parent company General Motors announced that it would make OnStar service standard on all models by 2007.

As a result, OnStar is betting that its subscriber base will grow from 3 million to 10 million.

Could something similar be in the works for vehicles with XM Satellite Radio, which is marketed by OnStar? Perhaps, hints Rick Lee, vice president of satellite radio services for OnStar. Lee spoke with Staff Reporter Greg Bowens.

Is the move to make OnStar standard on all GM vehicles a prelude for the same happening with XM Satellite Radio?

It is certainly something that is being considered.

What would it take to get there?

Our ability to make a decision like this isn't really all that far away. It really is dependent on a lot of other external factors like the health of the GM business. The first step was making OnStar standard. So the foundation has been set.

What's the next big thing for OnStar?

There is a lot we can do to drive usage and add value so that after a year of free service you get with the purchase of a new car, people won't want to give it up.

This could include providing information about road conditions and/or traffic information that could make it easier for a driver to get from one place to another.

We could also provide service to help people with their cars.

If you think about the life cycle of ownership and things that happen during that life cycle, such as maintenance, there is a lot we can do.

Providing drivers with traffic information is what your satellite partner XM does with its real-time traffic service on Cadillac models. Is OnStar competing with XM to provide the same service?

To get traffic information into the vehicle today you have to use a $2,000 autonomous navigation system. If you already have OnStar onboard, maybe traffic gets delivered a different way for a whole lot less.

That sounds like competition.

I would call that collaboration.

You may e-mail Greg Bowens at gbowens@crain.com

[s113]

I don't like the idea of making XM standard. I had it when I had my 2005 Malibu LT (for about a month :p), but I don't miss having it in the Cobalt.

[SpeedFever]

XM doesnt sound all that great to me

[86fleet]

I know a lot of people who love XM, so if they are on the fence about buying a car, this could help

[mgescuro]

Oh yeah... I was at the Caddy dealer on Sunday looking at an STS.
And he started off... "ANd this car has XM. Do you know what XM is? It's like Sirius."


If GM wants to make XM standard? Go for it!!!

[GMFreak8]

XM, is the Music lovers paradise. You like shallow playlists and talk radio go to Sirius. I will not buy a new GM car unless it has XM in it.

[1BadPig]

I much prefer GM's decision of making the mini-jack for all their cars. This way the consumer can plug in whatever, XM, iPod, old cassette recorder for that matter ...

[MelvinJ]

I love XM radio, but I don't really want it built into my car radio. I have a Delphi SkyFi that can go from my jambox to the car with one subscription. I don't want to have to pay for two.

I agree that the external input jack should be standard on EVERY radio.

[2005 Equinox LS]

I agree the jack should be standard. I dont want XM standard.

[91 s-10baja]

Originally Posted by gonenuts15792

XM, is the Music lovers paradise. You like shallow playlists and talk radio go to Sirius. I will not buy a new GM car unless it has XM in it.

I agree, I am a huge fan of the service, and infact have extended my subscription for three more years. As far as the portability aspect of the aftermarket units go, not really an issue with me as the only time other than in my car that I listen to radio, is at work, and now they offer free web access as of April 2nd, so that is another reason to enjoy it!!

[atomicshark]

I love XM and I think it would be a plus to make it standard on all GM cars and trucks. I guess Hyundai had to be the first to do it before GM commited to it.

I just hope that all GM vehicles get the aux. jack that is coming out on some of their 06 models.

That is one thing that bugs me about my GTO's audio system, I have to rely on FM transmitters for my XM and iPod.

[JakeF]

XM standard would be great. They would HAVE to do something about the antennae. That thing is huge. I saw a C6 vert with it the other day. I'd be pissed if my 60K car had that on the trunk.

OnStar standard sucks. I doubt I will ever buy a vehicle with OnStar. I know for sure my parents won't. My mom is looking for a Tahoe without OnStar right now. HARD to find.

[mjd1001]

To me this is the BEST example so far of GM making decisions that are easy instead of what is needed.

Right now...if you WANT XM radio in most GM's cars, you can get it without a problem. When I drive through a local GM dealership, it seems to me that half the cars have it already. So why make it standard? It's not a huge deal, but there are some people not interested in it.

It's kinda like Onstar...if I'm not going to use it, I really don't want it in my car (plus once again, perception is reality...if someone doesn't want XM radio or Onstar but the car they buy comes standard with it..they will get the perception they are paying for it (as part of the price) when they wont' use it). Plus, what about those people who prefer Sirius over XM? By making XM standard, it's more annoying to them when they want to swap out the head unit to get Sirius.

Instead of focusing on making XM and Onstar Standard...or reallocating recourses to push out the new 2006 SUV's a month or two early..how about fixing the problems you have that matter to consumers?? Fuel efficient Engines, more advanced transmissions, better resale value in your cars, and DON'T tell us about a 2 door G6 and make us wait a full year for it after you launch the 4 door.