Just days after posting my little write up on why I think XM’s better then Sirius, word comes from the New York Post that the two are talking merger. While Sirius’ top man denies that he has meet with anyone, it doesn’t negate the fact that talks first start out usually with lower management and then the big guys show up for the token pen moment.

Since the satellite market is so small and Sirius had big losses in their Q4 (and they’ll just get larger when Howard comes on board), it would make sense to see the two come together. What will the Fed’s say and how will the technology issues be worked out is for lawyers and engineers to figure out later, but if it means I get to keep the best of XM and get the NFL, then I say bring it on!

Sirius Satellite Radio Inc. Chief Executive Mel Karmazin has not met with top executives of rival XM Satellite Radio Holdings to discuss a merger between the two broadcasters, Karmazin said on a conference call Wednesday after Sirius reported a wider fourth-quarter loss.

“I have not met with the chairman or CEO, so I have no idea where any of this came from,” Karmazin said in response to a New York Post story that claimed Sirius and XM have started early merger discussions. [Full Text]