Kramer Levin’s client Sirius XM significantly expanded its current satellite radio subscription business to now include telematics services and products for automobiles. Pursuant to a Master Services Agreement, Sirius XM will be the exclusive provider of a comprehensive suite of telematics services for Nissan branded vehicles, including 24/7 emergency support for accidents, stolen vehicle tracking and roadside assistance through smartphones, tablets and automotive vehicle devices.
In a separate but related transaction, Sirius XM entered into a Master Services Agreement with Hughes Telematics Services to provide some of the support functions for these services. The arrangement with Nissan will not only serve as a platform for Sirius XM to provide similar telematics services to other OEMs, but to expand Sirius XM’s subscription business to provide a full complement of audio entertainment, data and telematics services to drivers.
The Kramer Levin team that worked on both transactions for Sirius XM consisted of Intellectual Property partner Peter A. Abruzzese and Corporate partner J. Michael Mayerfeld and special counsel Randal D. Murdock.
