23:15 11.08.2006 | All news from "Tech News and Articles"

FCC requests more data on certain XM receivers (Reuters)

NEW YORK (Reuters) - XM Satellite Radio Holdings Inc.(Nasdaq: - ) on Friday said U.S. regulators have requestedadditional information on its radio receivers that also containFM transmitters.

XM and rival Sirius Satellite Radio (Nasdaq: - ) in recentmonths have instructed some of their manufacturers to stopmaking radios equipped with wireless transmitters. Such radiosare capable of receiving satellite signals and transmittingthem to traditional radios.

XM, which was originally contacted by the FCC in April,said the FCC on August 7 requested information on the company'sSportscaster, Roady XT, MyFi, Airware, Tao and Roady 2 devices.XM said it has requested its manufacturers suspend productionof these units. It plans to "respond promptly" to the FCCrequest.

"We are completing the necessary design or installationmodifications, as appropriate, and conducting additionaltesting for XM radios to meet applicable FCC requirements," thecompany said in a statement. "We expect to obtain newcertifications for modified XM radios on an expedited basis."

XM reiterated that it does not know if the FCC-relatedissue will have a material impact on its business.

Sirius said on Thursday that two of its radio manufacturershad resumed making and distributing radios previously found notto meet federal rules. Sirius said the manufacturers got newgrants of authority after the FCC confirmed the devices were incompliance.

Shares of XM slipped 40 cents, or 3.7 percent, to $10.77 inafternoon trading, while Sirius shares eased 2 cents to $3.75,both on Nasdaq.



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