The news: Radio broadcasters iHeartMedia and SiriusXM are discussing a potential merger, Bloomberg reported on Friday. The merger would bring together the leading satellite radio provider with the biggest US terrestrial radio network as the format experiences steady listener declines amid the rise of digital audio and streaming.

Sources cited by Variety noted that the potential merger’s objective is to “provide greater scale and partner with artists to create platforms.”

Why it matters: Both companies are facing pressure as traditional audio formats lose momentum. iHeartMedia’s full-year 2025 revenues were flat versus 2024, with Q4 up just 0.8% YoY. SiriusXM’s full-year revenues fell 2%, and its Q4 2025 revenues were flat YoY.

A merger would create a new audio giant better positioned to compete with streaming leaders like Spotify for audiences and ad dollars.