SiriusXM is compounding its competitive pressure on AM/FM with the launch of SiriusXM Play, a new lower-cost, ad-supported subscription tier that opens the company’s music channels to commercials for the first time, in an attempt to steal listeners and brands from over-the-air radio.
The move adds a new layer to SiriusXM’s announced strategy of drawing ad revenue away from broadcast radio.
Priced under $7 per month, SiriusXM Play offers users access to more than 130 music, talk, news, and sports channels in the car, along with expanded content via the SiriusXM app. Unlike the company’s traditional premium tiers, Play will include limited advertising, claiming half the ad load of AM/FM radio.
The company plans to build out the offering throughout 2025, integrating ad tools like dynamic insertion, creative channel takeovers, and unified cross-platform buying across its broader ecosystem, including Pandora, SoundCloud, and its podcast network. Play is expected to be available in nearly 100 million vehicles by the year’s end.
Until now, the satellite broadcaster’s reach in the ad-supported arena, especially in-car, has remained limited, even with the 2024 launch of its Free Access plan for certain users with 360L-supported receivers in their cars.
Despite years of investment in in-dash integration and programming, SiriusXM remains a distant second to traditional radio when it comes to ad-supported in-car listening. That’s according to Edison Research’s Share of Ear 2024 data, which reveals AM/FM broadcast radio commands a staggering 85% of daily ad-supported audio listening among adults 18+ in the car. SiriusXM captures just 6%.
SiriusXM Chief Operating Officer Wayne Thorsen said, “SiriusXM Play presents us with an incredible opportunity to thoughtfully scale our audio service on the road and off to even more listeners across North America…as the premium audio leader in-car to deliver this compelling offering to consumers and advertisers alike.”
Chief Advertising Revenue Officer Scott Walker added, “The car is the final frontier for digital ad-supported media. In the short term, we are opening up new inventory for marketers, including premium, curated music. In the long term, with more advanced capabilities, we have a chance to revolutionize the in-car advertising landscape.”
Try X101 always classic in Homer New York
I like SiriusXM, but the music playlists are way to narrow. Instead of a 300ish rotation of 60s, 70s, 80s hits, etc. Make it 5000 and I might subscribe.
Hi Jon,take a listen to X101 always classic in Homer New York
This is just incredibly stupid on so many levels.
Why would anyone be willing to pay for this??
Hey, here’s an idea. Let’s add commercials to an already paid subscription service to make it more like AM/FM radio so that we can also capitalize on the precipitous decline in listenership that broadcast radio is experiencing! Yeah, that’s the ticket. Get right on that.
OK, guys, the lesson from this article is aimed straight at the all-music and just spots formats of today with token voice-tracked “personalities” who can’t tell time or know if there is a blizzard or a flood they are talking at. Live and local and a return to promoting your station is what will preserve you even if it makes less in income to pay off your huge debt. What we sounded like up to the year 2000 is still viable when it is controlled. Radio Ink’s article about the Florida station last week was an instruction to all. Have you heard KDRI 830 in Tucson? Don’t give me that “but I can’t do anything” business. Find some place that will…AM or FM.
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