Exhibit 15.1

                        REPORT OF INDEPENDENT ACCOUNTANTS


To the Board of Directors and Stockholders CD Radio Inc.:

         We have audited the accompanying consolidated balance sheets of CD
Radio Inc. and Subsidiary (a Development Stage Enterprise) as of December 31,
1996 and 1997, and the related consolidated statements of operations,
stockholders' equity and cash flows for each of the three years in the period
ended December 31, 1997 and for the period May 17, 1990 (date of inception) to
December 31, 1997. These financial statements are the responsibility of the
Company's management. Our responsibility is to express an opinion on these
financial statements based on our audits.

         We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audits provide a reasonable basis for our opinion.

         The aforementioned consolidated financial statements have been prepared
assuming that the Company would continue as a going concern. Our report on our
audit of such consolidated financial statements was issued originally under date
of March 3, 1998. Such report was based upon the facts and circumstances as they
existed at that time, including that substantial doubt did not exist as to the
Company's ability to continue as a going concern through December 31, 1998.
Subsequent to the date of issuance of our original report, certain uncertainties
have arisen as described in "RISK FACTORS--EXPECTATION OF CONTINUING LOSSES;
NEGATIVE CASH FLOW" and "NEED FOR SUBSTANTIAL ADDITIONAL FINANCING" appearing in
Amendment No. 3 to the Company's Form S-3, filed on October 7, 1998. Such
subsequent uncertainties with respect to the availability of funds to sustain
the Company's activities indicate at October 7, 1998, that the Company may be
unable to continue as a going concern through 1999.

         In our opinion, the financial statements referred to above present
fairly, in all material respects, the consolidated financial position of CD
Radio Inc. and Subsidiary as of December 31, 1996 and 1997, and the consolidated
results of their operations and their cash flows for each of the three years in
the period ended

                                                                               2

December 31, 1997 and for the period May 17, 1990 (date of inception) to
December 31, 1997 in conformity with generally accepted accounting principles.



McLean, VA 
March 3, 1998, except as to 
the third paragraph for which 
the date is
October 7, 1998.