This must have been fixed in FP release 3, because mine works great.. I am using the XM SW that came with frodo though, not frodosatellitex(v3).
EDIT:
Maybe not related since Frodo acknowledged it earlier.....
I also replace my XM direct cable. The one I was using had thin pins on the male end and seemed to cause problems. I compared it to the cable that came with the TERK adapter for HUs and decided to mod that cable instead.
The male end of the factory cable had thicker pins and fit a lot tighter than the Mac printer cable. That seemed to help things out as well.
I also replace my HDD, went from a 200G to a 160G, same manufacturer. The 200G seemed to be giving me errors. Everything has worked out wonderfully since.
My only complaint:
My drive time isn't long enough to really enjoy my new setup.... need a roadtrip.