Here’s Why SiriusXM is Purchasing Pandora for $3.5 billion

SiriusXM said Monday that it is acquiring Pandora in a $3.5 billion deal that aims to create an all-encompassing digital audio offering that will reach some 100 million users in their vehicles, in homes and on mobile devices. During a call with investors this morning, Jim Meyer, chief executive at SiriusXM, said many potential new listeners try out the satellite radio service when they get a new or used vehicle, but often do not become paying subscribers.