Analysts and other experts on regulatory issues told participants at a Federal Communications Bar Association seminar that the proposed merger of Sirius and XM Satellite Radio is likely to be approved by the Justice Department (DOJ) and by the FCC, albeit with conditions. Announced in February, the $13 billion transaction would unite the sole licensed providers of digital satellite radio services to the U.S. market. Although opponents claim that the creation of an effective monopoly would leave audiences with no alternative provider of satellite radio services and would lead to higher prices, supporters say that the merger makes sense as alternative competitive music sources (i.e., Internet radio, wireless music services and terrestrial digital broadcast radio) have taken hold. Sirius CEO Mel Karmazin has also testified before Congress that the combination would result in lower prices, as subscription rates charged by the merged entity would be lower than what it now costs to subscribe to XM and to Sirius individually. Noting that “there’s a lot of competition in the mobile audio radio market coming online,” Blair Levin, an analyst for Stifel Nicolaus, said that “one of the more compelling arguments for the deal to go through is that [terrestrial providers] have 3G.” Anne Marie Kovacs, an analyst appearing on behalf of Regulatory Source Associates, also predicted approval as she observed a lack of resistance to the deal from members of Congress. While agreeing that the FCC and DOJ are likely to consent to the merger, George Reed-Dellinger, appearing on behalf of Washington Analysis, noted that regulators could require the combined entity to cap rates, offer a la carte program packages, and accept other conditions for approval. Levin added that any such conditions are likely to focus on programming and on adult-only content—currently offered to subscribers of both companies—that advocates of family-friendly programming have condemned as indecent. In response to such concerns, Levin said the FCC is likely to order “either a family-friendly tier or a la carte,” as he further predicted that regulators are likely to strengthen restrictions against the provision of local programming