SiriusXM CEO Mel Karmazin Stepping Down February 1st
On February 1st, SiriusXM CEO Mel Karmazin will be stepping down from teh company. SiriusXM is currently equipped in 50 million cars and trucks. The SiriusXM board of directors is in the process of searching for internal and external candidates to take the CEO spot.
Liberty Media holds a 50% stake in SiriusXM’s shares and they are looking to raise their stake to gain control of the company. Liberty Media informed the FCC that they intend to take control of SiriusXM, which would put Mr. Karmazin’s position at risk anyway.
Liberty Media CEO Greg Maffei sits on the SiriusXM board and said last month that Mr. Karmazin was not “irreplaceable.” Mr. Karmazin became CEO of SiriusXM in 2004. He oversaw Sirius’ merger with XM Satellite Radio in 2008. Sirius saw a 14% increase in subscribers for the second quarter, which is mainly due to growth in higher new-vehicles.
SiriusXM recently passed 50 million factory vehicle installations and they expected to hit 100 million installations by 2018.
Around two-thirds of new vehicles sold in the United States come with satellite radio and a trial subscription of SiriusXM as part of long-term agreements with auto companies.
This article was written by Amit Chowdhry. You can follow me at @amitchowdhry or on Google+ at +AmitChowdhry