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Pioneer And XM Satellite Radio Achieve Major Milestone In Portable Audio With Pioneer Inno™, The Next-Generation XM2go Player With Live XM And Mp3


Washington D.C., January 04, 2006 -- Pioneer Electronics (USA), Inc. and XM Satellite Radio today unveiled the Pioneer Inno™, the next-generation portable XM2go satellite radio that plays live satellite radio “on the go” and both MP3s and WMAs, heralding a major milestone in portable audio.
The Pioneer Inno offers the long-awaited combination of MP3 and live XM Satellite Radio reception in a sleek, handheld device. The wearable radio delivers XM’s 160 digital radio channels of commercial-free music and premier sports, news, talk, and entertainment programming live and nationwide. It plays MP3 and WMAs, and it has a time-shifting memory mode for storage and playback of XM content.

A particularly innovative feature of the Inno allows the user to “bookmark” songs heard on XM, connect the Inno to a personal computer, and instantly purchase the songs from the XM + Napster online service.

“For music fans, XM Satellite Radio and MP3s are the biggest things to happen in decades, and now you can get the best of both worlds in a single device that fits in the palm of your hand,” said Hugh Panero, President and CEO of XM Satellite Radio.

“XM’s on-air hosts play the richest, deepest variety of music ever heard on the radio. When you combine live XM Radio with a portable MP3 player that lets you buy songs you hear on XM from Napster, you have a 360-degree music experience. Consumers and critics alike have been clamoring for a portable player that plays live satellite radio and MP3s. And now, the wait is over,” Panero said.

“The Pioneer Inno delivers where other personal music players have fallen short,” said Larry Rougas, vice president of marketing and product planning for mobile entertainment at Pioneer Electronics (USA) Inc. “In the past, the consumer has been able to do one of two things: listen to satellite radio or listen to music downloaded from their own collection. Now, the consumer can have their personal favorites and also be exposed to great new artists through XM programming. Adding the XM functionality to an MP3 player means you’re no longer a prisoner to your own playlist.”

The Pioneer Inno has flash memory storage for MP3/WMA files and XM content. The Inno can store up to 50 hours of XM programming. At only 4.5 ounces and 3.7 H“ x 2.2 W” x 0.6 D" the Inno is extremely light and easy to take along anywhere.

The Pioneer Inno uses a new, state-of-the-art satellite/terrestrial internal antenna for live reception of XM Satellite Radio. It has a full-color, 180 X 180 pixels TFT display and a user-friendly interface for saving and deleting content. Users can build personal playlists using a mix of XM content and tracks from their own digital music collection. The unit has a memory buffer to make it easy to store an entire track heard in XM, even if the user starts storing it in the middle of a song.

Inno also has a built-in, wireless FM transmitter that beams XM to any FM radio. It offers a personal stock quotes ticker and sport score ticker, a category list for saving and playing favorite channels, and the popular TuneSelect feature, which tells the listener a favorite artist or song whenever it is played on any XM channel.

Inno comes with headphones and all of the accessories needed for portable and home use. Optional accessories sold separately include a vehicle kit, boom boxes, and mini audio systems. The Pioneer Inno (MSRP: $399.99) will arrive at retailers in the first quarter of 2006.

About XM Satellite Radio
XM (Nasdaq: XMSR) is America’s number one satellite radio service. Broadcasting live daily from studios in Washington, DC, New York City and Nashville at the Country Music Hall of Fame, XM offers 160 digital channels of choice from coast to coast: the most commercial-free music channels, premier sports, talk, comedy, children’s and entertainment programming; and the most advanced traffic and weather information.

XM, the leader in satellite-delivered entertainment and data services for the automobile market through partnerships with General Motors, Honda, Toyota, Hyundai, Nissan, Porsche, and Volkswagen/Audi, is available in more than 130 different vehicle models for 2006. XM’s industry-leading products are available at consumer electronics retailers nationwide. For more information about XM hardware, programming and partnerships, please visit

Factors that could cause actual results to differ materially from those in the forward-looking statements in this press release include demand for XM Satellite Radio’s service, the Company’s dependence on technology and third party vendors, its potential need for additional financing, as well as other risks described in XM Satellite Radio Holdings Inc.’s Form 10-Q filed with the Securities and Exchange Commission on 11-07-05. Copies of the filing are available upon request from XM Radio’s Investor Relations Department.


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