SiriusXM CEO: Benefits of Streaming Revolution

Jim Meyer

SiriusXM Radio plans to be the dominant product in the connected car of the future, and CEO Jim Meyer expects that by the end of the decade about 70 percent of new automobiles in the U.S. will come with an embedded modem.

While satellite radio is not a two-way service, modems will allow for seamless on-demand content and other services that Sirius XM plans on being involved with, said Meyer, who was speaking at an investor-day presentation of parent company Liberty Media.

Earlier, Liberty Media CEO Greg Maffei worried about the impact Internet streaming could have on SiriusXM’s model, calling it “both a threat and an opportunity,” though Meyer was far more bullish, according to The Hollywood Reporter.

SiriusXM is in 70 percent of new cars in the U.S., and by year’s end the service will boast 27 million paying subscribers, Meyer said. With 240 million cars in the country, there’s room for lots of growth, and the company is looking at expanding pricing options.

“I’m pretty bullish on subscriber growth for years to come,” Meyer added.

CNBC's David Faber speaks to Jim Meyer, SiriusXM CEO, about the strength of its music streaming offering and competition in the satellite radio space.