Analyst: Satellite Radio Moving To OEM-Driven Model Bank of America analyst Jonathan Jacoby said in a report on XM Satellite Radio that he expects 2007 to be a "transition year" for satellite radio as it moves from a retail-driven to an OEM-driven subscription model.
"Going forward, we expect OEM gross adds to be greater than retail gross adds in every quarter -- including the traditionally retail-heavy fourth quarter," Jacoby wrote.
Jacoby said he expects new cars with factory-installed satellite radios to account for 60% of new subscribers in 2007, up from 48% in 2006.
