Satellite radio space is all set to sizzle in the country. With the government giving finishing touches to its policy guidelines on satellite radio, the space is bound to attract more players (and of course listeners).

So, get ready to catch digital broadcasts on everything from sports to entertainment to niche music channels.

Here's all about satellite radio, what exactly it is, how it works, how much it costs and more.

A satellite radio is a digital radio signal that is broadcast by a communication satellite, which covers a much wider geographical range than terrestrial radio signals.

Also called Digital Audio Radio Service (DARS), satellite radio uses 2.3 GHz S band frequencies. Since the broadcast is digital, reception is free from disturbances, it is noise-free and offers clear sound.

Presently, key satellite digital radio systems in the world are WorldSpace (covers Africa, southern Europe, Middle East and Asia), XM Radio, Sirius Radio (US and parts of Canada), and MBCo (Japan and Korea).

Just like analog radio works by broadcasting the radio frequency to local transmitters and then on to the listener, satellite radio instead of using stationary transmitters which have limited range to broadcast uses mobile satellites orbiting the earth.

They pick up radio signals straight from orbiting satellites, usually with the help of a small receiver with antennae. The satellite bounces the transmitted radio frequency off of the satellite and out to the millions of satellite radio listeners around the world.

All a user needs to do in order to access satellite radio services is purchase a satellite radio device either stationary or portable.

On purchase of the service, the satellite radio device is programmed into a database that allows to receive specific radio transmissions from specific satellites.

The service is available through a monthly or annual subscription plan. As the service doesn't run any commercial advertisements, its revenue generation is entirely based on subscription.

The cost of a satellite radio device varies between Rs 2000 to Rs 4000 and a year's subscription roughly amounts to Rs 2000.

For those tired of long commercial breaks, satellite radio can be a good option. In India, Satellite radio is not allowed to air commercials to protect the interest of local FM broadcasters.

As per new guidelines (reported in a news daily) satellite radio channel can air a maximum of two minutes per hour of promotional material about the channel. Broadcast of public interest announcements for a maximum of one hour per day might be made mandatory.

Also, religious organizations and political parties will not be allowed to set up their channels. This is probably in order to protect the sentiments of people belonging from different sects.

Private news channels will also not be allowed to set up their stations. However, talk and current affairs programmes can be aired. Also, news broadcasts or audio feeds of state-owned All India Radio (AIR) and Doordarshan will be allowed. Uplinking of signals will be from India through locally registered firms.