Legally, the problem belongs to Subaru, not your dealer. Part of every sales contract I have signed for new cars points out the the dealer themselves make no representation of fitness and provide no warranty. That all comes from the manufacturer.
That said, one hopes that this dealer will still try to resolve this for you to keep you as a future customer.
I do agree that it is ridiculous to buy a new car with such a poorly functioning radio.
I spoke with corporate Subaru and they said because none of their Outbacks can receive a strong FM signal, they don’t have any responsibility. They say that as long as my car is as bad as all their other cars, it’s not a problem. When I reminded them that they advertise their great radio exuberantly, they parsed words and said it’s a great sound system not a great radio. The dealer said he would put on an outside antenna. He is unwilling to give me my money back which I would prefer at this point. Subaru keeps saying they are selling cars like hotcakes and no one else cares about the radio so I would be happy at this point if they would sell my car to someone who doesn’t listen to the radio – but of course they will not cancel the sale. I gave the dealer a list of four radio stations (including the public radio station on which I listen to Car Talk) and said I would consider the radio fixed if I could hear these without static. I must say this whole experience has soured me on Outbacks and on Subaru. I cannot believe I cannot have a radio of the same quality as a 94 Honda with a bent antenna. Made a huge mistake not tuning the radio to make sure it worked before buying the car. Never thought there was a difference between a working radio and a great sound system. Thanks for all your help…
I have a 2008 Outback that had static and didn’t even pick up the strong NY stations and hold them for more than 20 miles. The static became so bad I turned off the radio. If I forgot the IPOD i was stuck.
Replaced the radio with a $180 Dual from Cruchfield, $140 for 4 new speakers while I was at it. Now I have FANTASTIC reception (no change to the antenna at all) and the sound is great.
On the Outback with the manual climate control it turns out you must disassemble the dash and become a contortionist to get the lever dis attached. What a bonehead stupid design. My last radio change took about 2 hours and no back ache. This one took 4 hours (less than 1 hour for the 4 speakers) My back still hurts. Cruchfield sent me the wiring adapter and a new trim kit included in the price of the radio. My wife LOVES the bluetooth hands free phone, I love the extra HD channels.
I’m going to mail the old radio back to Suburu and say they make a fine car but crap it up with a radio that is worse than any I have ever heard.