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Best Buy to sell satellite radio service

Published on .

Best Buy Co., Eden Prairie, Minn., is the first retailer to announce an agreement with XM Satellite Radio, Washington, to market and distribute the subscription radio service and its satellite-capable radios. The sales effort, which will include joint marketing by the two companies, will begin early next year as the 100-channel radio service prepares to launch. XM, one of two companies licensed to offer satellite radio, has established manufacturing agreements with companies such as Alpine, Audiovox, Motorola, Pioneer and Sony to develop after-market XM equipped radios. XM expects to develop several more sales and marketing agreements with retailers. Meanwhile, the satellite radio company is in a final review of agencies for its estimated $100 million marketing business.

Copyright May 2000, Crain Communications Inc.

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