XM Satellite Radio Signs Sanyo to Produce Factory-Installed Car Radios

    WASHINGTON, Feb. 7 XM Satellite Radio has
signed an agreement with Sanyo Electric Co., Ltd. to design, develop, produce
and market XM radios for factory installation into new cars, Dan Murphy, XM's
Vice President for Retail Marketing and Distribution, announced today.
    (Photo:  http://www.newscom.com/cgi-bin/prnh/20000724/XMSATLOGO )
   "We are delighted that Sanyo, an electronics leader, will develop XM radios
for the new car market," Murphy said.  "We look forward to working with this
industry leader as we build the next generation of radio."
    Sanyo Electric Co., LTD. manufactures a broad range of electronic items
including video equipment, audio equipment, home appliances, industrial and
commercial equipment, information systems, batteries and air-conditioning
equipment.

    XM will transform radio, an industry that has seen little technological
change since FM, almost 40 years ago.  XM will create and package up to 100
channels of digital-quality sound and provide coast-to-coast coverage of
music, news, sports, talk, comedy and children's programming.  XM won several
awards at the International Consumer Electronics Show in January, including
"Best of CES" in the automotive category.
    XM's strategic investors include America's leading car, radio and
satellite TV companies -- General Motors, American Honda Motor Co. Inc., Clear
Channel Communications, DIRECTV and Motient Corporation , the
company's largest shareholder.  XM has a long-term distribution agreement with
General Motors to integrate XM-ready radios into its vehicles commencing in
2001.  XM-ready radios will be manufactured by such household names as Sony,
Alpine, Pioneer, Clarion, Blaupunkt, Delphi-Delco, Visteon and Panasonic, in
addition to Sanyo,  and sold by automotive and retail outlets such as Best
Buy, Circuit City and Sears.  Broadcast service is slated to begin this
summer.  For more information, please visit our web site:
http://www.xmradio.com .

    Factors that could cause actual results to differ materially from those in
the forward-looking statements in this press release include uncertainties
associated with the launch of the company's satellites, the company's
dependence on third party vendors, its continuing need for additional
financing, as well as other risks described in XM Satellite Radio Holdings
Inc.'s Form S-3 filed with the Securities and Exchange Commission on 10-25-
2000.  Copies of the filing are available upon request from XM Radio's
Investor Relations Department.