SiriusXM has officially entered the value streaming tier race.
On July 15, the company introduced SiriusXM Play, a new low-cost, ad-supported streaming option priced under $7 per month. The tier offers access to over 130 channels across music, talk, sports, and comedy, available both in-car and via the SiriusXM app. For now, it’s available on a limited basis, with wider rollout plans and additional pricing packages expected later in 2025.
This is a strategic move and a long-overdue one. While SiriusXM has built a subscription-heavy model primarily through satellite radio, Play gives the company a chance to broaden its funnel with a lower-priced, ad-supported entry point. It directly targets more price-sensitive consumers and streaming-first listeners.
“With Play, we can reach and engage with new, more price-sensitive listeners,” said Wayne Thorsen, SiriusXM COO.
While SiriusXM talk programming has long featured ads, music channels traditionally haven’t. Play will change that. The company says the ad load on music channels will be roughly half that of traditional FM and AM radio, striking a balance between user experience and revenue generation.
The bigger move here may not be about consumers at all. It’s about advertisers.
Play gives SiriusXM a much-needed path to scale its ad-supported audio inventory, especially in the car. The company already owns Pandora, SoundCloud’s U.S. ad sales business, and a large podcast network. Now, Play introduces a new, curated, premium music environment where SiriusXM can sell against its own content.
“The car is the final frontier for digital ad-supported media,” said Scott Walker, SiriusXM’s chief advertising revenue officer. “In the short term, we are opening up new inventory for marketers. In the long term, with more advanced capabilities, we have a chance to revolutionize the in-car advertising landscape.”
At present, SiriusXM subscriptions range from $9.99 to $25 per month. The addition of a $7 ad-supported tier creates a meaningful spread across pricing tiers, not unlike what we’ve seen from Spotify, YouTube, and Netflix.
With Play, SiriusXM is not just chasing growth. It is building the infrastructure to modernize its ad business and expand beyond the traditional satellite-only model.
