Jón Þór (Jónsi) Birgisson (guitar and vocals), Georg Hólm (bass) and Ágúst Ævar Gunnarsson (drums) formed the group in Reykjavík in August 1994. Their name is Icelandic wordplay: While the individual words Sigur and Rós mean, respectively, Victory and Rose, "Victory Rose" wouldn't be grammatically correct. The name is thus taken from Jónsi's younger sister Sigurrós, who was born the same day as the band was formed, and then split into two words. They soon won a record deal with the local Sugarcubes-owned record label, Bad Taste. In 1997, they released Von (pronounced [vɔːn], meaning "hope") and in 1998 a remix collection named Von brigði (IPA: [vɔːn ˈprɪɣðɪ]). The name is Icelandic wordplay: Vonbrigði means "disappointment", but Von brigði means "variations on Von". The band was joined by Kjartan Sveinsson on keyboards in 1998. He is the only member of Sigur Rós with musical training, and therefore has contributed most of the orchestral and string arrangements for their later work.
(From Wikipedia) http://www.myspace.com/sigurrosmoosick