STATEMENT OF
CHAIRMAN KEVIN J. MARTIN
Re: Sirius Satellite Radio Inc.
Re: XM Radio, Inc.
The Commission has longstanding technical rules regarding the marketing of equipment, 
including FM modulators, and the construction and operation of terrestrial repeaters pursuant to 
Special Temporary Authority.  These rules serve important consumer protection and competitive 
goals.  As I have said before, the Commission takes a licensee's obligation to comply with our 
rules very seriously and will not tolerate non-compliance.
In order to resolve the Commission's investigation into whether these license holders 
were violating the Commission's technical requirements regarding FM modulators, as well as our 
rules regarding the construction and operation of terrestrial repeaters, the two companies have 
agreed to undertake significant corrective actions and implement various reforms to ensure future 
compliance with the Commission's rules.  They also have agreed to make significant 
contributions to the U.S. Treasury totaling nearly $19.6 million.
In reaching a conclusion to these investigations, the apparently intentional nature of some 
of the violations was troubling.  Indeed, the ability and willingness to conform one's conduct to 
the requirements of the Commission's rules are central to the qualifications of any Commission 
licensee.  On balance, however, the public's interest in the continued availability and viability of 
satellite radio services and the impact on the public and other licensees that the violations 
precipitated, taken together with the rigorous oversight and reporting obligations and substantial 
voluntary contribution, persuade me that settlement of these matters would best serve the public 
interest.
Through this strong enforcement action that we take today, the Commission has provided 
clear guidance to the licensees that we expect them to conform their conduct to the Commission's 
rules and sends a strong message that we will not tolerate non-compliance.