Alcatel Tunes In XM Radio

Communications equipment maker Alcatel has won a multi-million-dollar subcontract to build a digital radio satellite broadcasting system.

The project flows through aerospace giant Boeing on behalf of XM Satellite Radio, a digital radio broadcaster.

Using two satellites and a network of ground relays, XM offers 100 music and talk channels to subscribers throughout the continental United States.

To get its service to consumers, Washington, D.C.-based XM has partnered with auto makers, audio systems manufacturers, and retailers, including GM, Pioneer, and Best Buy.

“This contract consolidates Alcatel Space’ leadership in the digital radio broadcast market,” said Pascale Sourisse, Chairman and CEO of Alcatel’s satellite unit.

Sourisse said Alcatel and Boeing have worked together for five years, a fact that helped it win the business.

While best know for telecommunications infrastructure for large carriers, Alcatel does brisk business in the satellite industry, where it is the third largest company in the sector (first in Europe).

In addition to radio, the multi-national firm with headquarters in Paris, has also completed satellite projects for digital TV and Webcasting service providers.