Stern said his show was a 'culmination of dreams'

Stern's show for Sirius Satellite Broadcasting began on Monday with telephone sex and moderate swearing.

Unlike terrestrial radio stations, Sirius is not regulated by the Federal Communications Commission (FCC).

Stern was dropped by media giant Clear Channel in 2004 after it was fined $495,000 (�270,000) for indecency.

'Vulgar'

The company took Stern off air during an FCC crackdown on indecency in the wake of Janet Jackson's "wardrobe malfunction" at the Super Bowl.

He been suspended since February after the company said one broadcast was "vulgar and insulting".

Stern signed with Sirius five months later, but continued to broadcast The Stern Show on 35 stations owned by Infinity Broadcasting until his contract ended on 16 December.

He told listeners to the $13-a-month (�7.35) Sirius during his first broadcast: "I don't compete on terrestrial radio anymore. It's so over."

At the time his deal with Sirius was announced in October 2004, the company said it could be worth up to $500m (�282.85m) over five years.