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Delphi To Take Leadership Role in New Satellite Radio Market

7 January 2000

Delphi Automotive Systems Covers The Bases To Take Leadership Role in New Satellite Radio Market
Delphi Has Signed Agreements With Both Satellite Radio Companies and Signed
First-Ever Contract to Produce Satellite Radios for a Vehicle Maker

    LAS VEGAS, Jan. 6 -- Delphi Automotive Systems
has signed agreements with both Sirius Satellite Radio, Inc. (formerly CD
Radio, Inc.) and XM Satellite Radio, Inc. to design, develop and market
special three-band vehicle audio systems capable of receiving a new satellite
broadcast service.  In addition, Delphi has been awarded the first-ever
satellite radio-manufacturing contract from a vehicle maker -- General Motors
-- to produce the AM/FM/Digital radio satellite receiver.
    Satellite radio is an emerging technology, which will broadcast up to 100
channels of music and talk programming.  Delphi was among the first original
equipment manufacturers to license the technology and to enter into
development agreements with the only two companies granted licenses by the
Federal Communications Commission (FCC) to broadcast the new satellite radio
signals.
    "We saw a tremendous amount of potential with satellite radio and made
sure that we were positioned to take a leadership role," said Dave Wohleen,
president of Delphi Delco Electronics Systems.  "We are excited about the
opportunities that this technology presents and look forward to working with
the companies involved in its evolution."
    Satellite radio will deliver non-stop, digital-quality music and other
audio programming directly from satellites to vehicles and residences.  Mobile
users will need special radios and antennas incorporated into their vehicles
to receive the signals.  The advantages to consumers of the subscription-based
service include the selection of as many as 100 digital-quality, premium
music, news and entertainment programming options consistently from coast-to-
coast.
    After installing the first AM radio in an instrument panel of an
automobile in 1936, Delphi Delco Electronics Systems has established a
leadership position in mobile communications for original equipment
manufacturers.  Since then, Delphi Delco Electronics Systems has been at the
forefront in introducing and integrating various audio technologies into
vehicles, including AM/FM stereo, citizens band receivers, electronic tuning,
RDS and cassette and compact disc players.  Most recently, Delphi is playing
an important role in integrating Communiport(R) Mobile MultiMedia products
into vehicles.
    Under the Delco(R) brand name, Delphi produces more than five million
audio systems annually for a variety of customers in the global vehicle
market.  The company provides everything from antennas and tuners to audio
amplifiers and speakers that are custom-designed for an individual vehicle's
acoustics.
    "With our vast experience and rich heritage in mobile communications
technologies, it is entirely appropriate for Delphi to be out front with
satellite radio during the next century," Wohleen said.
    Delphi Automotive Systems, headquartered in Troy, Mich., USA, is a world
leader in automotive component and systems technology. Delphi's three sectors
-- Dynamics & Propulsion; Safety, Thermal & Electrical Architecture; and
Electronics & Mobile Communications -- provide comprehensive product solutions
to complex customer needs. Delphi has approximately 201,000 employees and
operates 168 wholly owned manufacturing sites, 38 joint ventures, 51 customer
centers and sales offices and 27 technical centers in 37 countries.  Regional
headquarters are located in Paris, Tokyo and Sao Paulo. Delphi can be found on
the Internet at http://www.delphiauto.com