America Online, the world’s leading interactive services company, and XM Satellite Radio, the nation’s leading provider of satellite radio, today announced that they will join forces to create a new online radio service. The service brings together the best of both XM and the AOL Radio Network products and programming to form the world’s largest combined digital radio network. The new co-branded service will include a free, web radio offering and an enhanced premier radio offering that will be available to AOL members at no additional charge and as a premium service to consumers on the web. The new offerings, which are expected to roll out beginning this summer with the launch of AOL’s next generation web portal, will be promoted to an audience of upwards of 100 million consumers online. AOL and XM will co-promote their unique, original programs across their networks including to XM’s nearly 3.8 million subscribers – the number one satellite radio audience – and to AOL’s more than 100 million unique monthly visitors across the AOL network of properties.

In addition to establishing the new online radio service, XM will integrate select AOL original programs such as Radio KOL, AOL Music Sessions and AOL Music LIVE! into its satellite radio service, which is available to listeners in cars as well as on home entertainment and portable devices. The companies will also work together to develop new programs and services for the online and satellite space.

“The combination of our leadership in online programming and XM’s leadership in satellite programming represents a giant step in digital media,” said Jon Miller, Chairman and CEO of America Online, Inc. “This relationship creates important and valuable opportunities across our core businesses enabling us to provide unique value for our large web audience, enhanced programming for our existing and new AOL members, and the ability to introduce new premium services.”

“Our philosophy at XM has always been to work with strong partners at every level: retail, automotive, and now online to build awareness and subscriptions for XM. We are thrilled to be partnering with AOL and combining the creative resources of these two great companies,” said Hugh Panero, XM Satellite Radio president and CEO. “The multi-tiered co-branded radio offerings will feature a number of popular stations currently offered by the AOL Radio Network and XM Satellite Radio.”

The new co-branded online radio service will feature a best-of-breed selection of AOL Radio Network and XM Radio exclusive and original content such as AOL’s Radio KOL, AOL Music Sessions and AOL Music LIVE! and original XM programs such as Artist Confidential and Then…Again…Live! and more. Consumers will have the ability to select the offering that best meets their needs.

The co-branded offerings will include:

A new, unlimited listening web radio service featuring a sampling of 20 XM stations plus 130 AOL Radio stations that will be available free on the web;

An enhanced version of AOL’s popular premium radio service featuring over 70 XM stations plus over 130 AOL Radio original and third party stations that will be available to AOL members at no additional charge and to consumers on the web for a low monthly fee.

“Our focus has always been on making the most valuable interactive programming and brands easily accessible to the broadest audience,” said Jim Bankoff, Executive Vice President, Programming and Products for America Online, Inc. “Now, as we prepare to launch our new portal and expand onto the web, we’re excited to step it up with this groundbreaking collaboration. Our relationship with XM enables us to enrich our mix of premier programming experiences while also extending the reach of our popular franchises to new platforms.”

The AOL Radio Network is a leading online radio network with 10 million unique visitors per month,* and over 200 stations of music, news, sports and talk. The network has more than 175 originally programmed music stations, which also feature recordings from AOL Music’s popular AOL Music Sessions, intimate in-studio performance series; AOL Music LIVE! weekly concert series; First Listens, worldwide debuts of the most eagerly anticipated songs before they are available anywhere else; All-Artist stations and Celebrity DJ stations. In addition, the network features third party stations from some of the most respected names in broadcasting.

About XM Satellite Radio

XM Satellite Radio is America’s number one satellite radio service with 3.77 million subscribers. XM offers more than 150 digital radio channels of choice from coast to coast: 67 commercial-free music channels, featuring hip hop to opera, classical to country, bluegrass to blues; 64 channels of premier sports, news, talk, comedy, children’s and entertainment programming; and 21 channels of the most advanced traffic and weather information for major metropolitan areas nationwide. XM Satellite Radio is the satellite radio leader in sports programming, offering thousands of live sporting events every year, including Major League Baseball games for every team. XM is the leader in satellite-delivered entertainment and data services for the automobile market through partnerships with General Motors, Honda, Toyota, Hyundai, Nissan, and Volkswagen/Audi. XM is available in more than 120 different vehicle models for 2005. XM also is available in Avis, National, and Alamo rental cars. XM is the exclusive in-flight entertainment service for AirTran Airways, and will soon be available on JetBlue flights. Consumers can experience XM over the Internet through XM Radio Online at For more information about XM hardware, programming and partnerships, please visit

About America Online, Inc.

America Online, Inc. is a wholly owned subsidiary of Time Warner Inc. Based in Dulles, Virginia, America Online is the world’s leader in interactive services, Web brands, Internet technologies and e-commerce services.

Visit XM Radio here.

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