CEO to Leave SiriusXM

Mel Karmazin, who has led satellite radio service provider SiriusXM Radio Inc. since 2004, will step down as CEO on Feb. 1. The company's board has formed a committee to seek a new chief executive.

Karmazin's exit isn't a surprise. He has been sparring publicly for months with the company's largest shareholder, Liberty Media Corp. Liberty CEO Greg Maffei said last month that Karmazin wasn't "irreplaceable."

Liberty obtained 40% of SiriusXM in 2009 when it rescued the company from bankruptcy with a $530 million loan. Liberty, which now owns nearly a 50% stake in SiriusXM, is seeking the Federal Communications Commission's approval to take over the radio company. A ruling is expected by December.

Karmazin arrived at Sirius after holding senior positions at CBS and Viacom. During his tenure, the company expanded from 700,000 subscribers to about 23 million now. A major factor was the merger with rival XM Radio that he helped engineering in 2007.

About two-thirds of all vehicles sold in the U.S. now come with SiriusXM systems and a trial subscription to the service. The company earned $427 million last year on more than $3 billion in revenue.