Wednesday, May 16, 2012

Zipcar To XM: It's Over

May 3, 2007 | 10:45 AM

Zipcar, a popular do-it-yourself car rental service in Washington and other urban areas, is dropping XM Satellite Radio. My occasional trips to Tysons Corner and around town will never be the same.

"Though we know that so many of you love XM's tuneage and ad-free format, we've made the difficult decision to break ties with XM while things get sorted out in the satellite radio industry," Zipcar wrote in an e-mail to customers. The firm is referring, of course, to its pending merger with competitor Sirius Satellite Radio.

At least the split seems to be amicable. XM is giving Zipsters access to subscription deals through friends and family discounts. Meanwhile, XM radios will be removed from all Zipcars over the next few months.

"Rest assured, we're checking out new ways to make your Ziptrips just as rockin' (or jazzin', or, well, you get the picture) as always," Zipcar's e-mail said. Until then, I'll have to remember to pack my iPod when I need to rent some wheels.

Update: There are two sides to every story and XM has a very different perspective on its breakup. A spokesman told Tech Daily Dose on Thursday that the satellite radio firm elected to end its relationship with Zipacar and the e-mail sent to subscribers "miscommunicated the facts." "We made an investment in the receivers that we were no longer willing to make… It was a business decision," the official said.

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Juliana Gruenwald

Tech Writer

E-Mail: jgruenwald@nationaljournal.com.


Juliana Gruenwald has been covering tech and telecom issues for more than a decade for National Journal, Interactive Week, BNA and Congressional Quarterly. This is her second stint with National Journal. She was recruited by NJ in 1998 to help launch its first tech policy publication, Technology Daily. She left in 2000 to cover international tech and telecom issues for Ziff Davis Media's Interactive Week magazine. She started her career at United Press International as the wire service's first Helen Thomas Intern. She has a Bachelor of Arts degree from the University of Minnesota. A Minneapolis native, she misses the lakes but not the cold.


Josh Smith

Tech Reporter

E-Mail: joshsmith@nationaljournal.com.


Josh Smith covers technology policy as a staff reporter for National Journal. He previously interned at National Journal Daily, a Senate press office, and the Deseret News in Salt Lake City where he covered the state legislature, courts, and crime. In 2009 he graduated with honors from Southern Utah University after managing an award-winning student newspaper as editor-in-chief. Josh has received state, regional and national awards for his political and policy reporting, including first place in CapitolBeat’s 2009 Best of Statehouse Reporting college competition. A native of drop-dead-gorgeous Utah, Josh lives in Virginia with his wife, Amber.