SiriusXM is making some serious power moves. The satellite radio giant just reached a definitive agreement with Pandora to obtain the streaming platform for $3.5 billion.

With this merger, SiriusXM and Pandora position the brands to take advantage of huge opportunities in audio entertainment and expand in ways like never before. Both companies will continue services and products under each respective name — business as usual.

SiriusXM’s more than 36 million subscribers across North America and 23 million-plus annual trial listeners, matched with Pandora’s more than 70 million monthly active users will extend reach more than ever. The parent company, officially Sirius XM Holdings Inc., is expected to have a stronger in-car presence thanks to this huge deal.

Chief Executive Officer of Pandora Roger Lynch summed it all up in a statement: “We’ve made tremendous progress in our efforts to lead in digital audio. Together with SiriusXM, we’re even better positioned to take advantage of the huge opportunities we see in audio entertainment, including growing our advertising business and expanding our subscription offerings. The powerful combination of SiriusXM’s content, position in the car, and premium subscription products, along with the biggest audio streaming service in the U.S., will create the world’s largest audio entertainment company. This transaction will deliver significant value to our stockholders and will allow them to participate in upside, given SiriusXM’s strong brand, financial resources and track record delivering results.”

Read the entire press release here.


Source: Sirius XM Holdings Inc.