Day of Silence On the Internet 276
A number of readers sent in stories about Net radio going dark for a day. Not all of it, but according to the Globe and Mail at least 45 stations representing thousands of channels. The stations are protesting a ruling establishing royalty rates that will put most of them out of business on July 15. "The ruling... is expected to cost large webcasters such as Yahoo and Real Networks millions of dollars, drive smaller websites like Pandora.com and Live365.com out of business and leave a large chunk of the 72 million Net radio listeners in the dark." SaveNetRadio has a page where US residents can locate their senators and representatives to call them today.
Non-American listeners? (Score:3, Interesting)
Thanks.
Re:How about a day of EXPLANATION?!?! (Score:5, Interesting)
One thing I don't understand is why the terrestrial broadcasters don't pay royalties in the US. AFAIK then do in most other counties. They certainly do in the UK. Anyone know?
Re:How about a day of EXPLANATION?!?! (Score:4, Interesting)
Keep in mind that both XM and Sirius have contracts with the RIAA that requires them to pay a percentage of subscription fees. So no, they're not paying the same fee, but they do pay a significant fee.
Re:Play independent music (Score:5, Interesting)
Close to the business. (Score:4, Interesting)
He can afford paying the royalties, if he must. The smaller shops will pay about the same.
Here are the issues as he pointed out.
1. He is going to have to pay 10x what he would have in the past.
2. The artists don't even know the cut they are going to get.
2a. The artists are beginning to catch on.
Re:How about a day of EXPLANATION?!?! (Score:5, Interesting)
I have a feeling that the NAB (National Association of Broadcasters) that represent terrestrial radio is partially behind this. Recently, they've seen competition increase significantly with MP3 players like the iPod, satellite radio, and Internet radio. The NAB is already trying to limit their competition by lobbying against the merger of the satellite radio companies, Sirius and XM, which are both taking massive losses. I wouldn't be surprised if they're behind an attempt to kill Internet radio.
I don't know about you guys, but I've completely stopped listening to regular radio. To me, regular radio has degenerated into commercials and the same 10 songs in repeat. Now I listen to my iPod on my commute to work. I'm very sure that many people are doing the same.
Re:This really is a non-issue. (Score:3, Interesting)
Why? Because WREK streams to the internet as well as using its website to host archives of the past week's music. Missed the Hour of Slack or dozed off during your favorite techno show? No problem, it's waiting for you! It's not even different from the terrestrial radio; just packaged a little nicer for your PC.
How does forcing collegiate radio to pay excessive royalty rates help ANYBODY but these SoundExchange folks? All this is going to do is stifle new investments into the system...
move outside the US (Score:3, Interesting)
Shoutcast? (Score:2, Interesting)
Re:How about a day of EXPLANATION?!?! (Score:4, Interesting)
Re:How about a day of EXPLANATION?!?! (Score:5, Interesting)
Now here is my question. If you are not a SEx member, how the hell can they be collecting fees for your copyrighted works if they hold no copyright on your works? Something about this systems seems a bit screwed up.
Re:Non-American listeners? (Score:3, Interesting)
I received this yesterday:
"Dear Dr. XXXX:
This letter acknowledges receipt of your communication about internet radio.
The Copyright Royalty Board (CRB) recently announced new statutory royalty rates for certain digital transmissions of sound recordings for the period January 1, 2006, through December 31, 2010. Implementation of these new rates marks the expiration of a previous royalty rate agreement specifically designed to benefit "small" web casters.
I support an artist's right to be paid what they deserve for their song, book, picture, artwork, television show or movie. However, the CRB's action to move royalty payments from a percentage of revenue to a flat per song fee will threaten the further existence of internet radio. By moving to a flat fee system internet radio stations will only be allowed to play either a limited number of songs or strictly use unsigned or up and coming musicians. For a small internet radio station to survive they will need a significant increase in revenue to be able to play the variety of songs current available on-line.
I firmly believe that the way consumers view and listen to music is drastically changing. We are in an age where people can download, watch and listen to almost any show, movie or song when they want. The internet allows people to experience new music and shows and gives individuals a forum to express and share their hobbies, their work experiences and what music they enjoy. At a minimum the same rules that apply to FM/AM radio should apply to online radio stations. Finally, there is a Congressional effort led by Representative Jay Inslee to overturn the CRB's decision. I will monitor that effort closely.
Thank you for sharing your views on this issue. Please do not hesitate to contact me in the future if you have any questions or comments. To receive additional information about issues that are facing Congress, Maryland, and the Nation that may affect you and your community, please visit my website at www.dutch.house.gov and sign up for my periodic e-mail newsletter.
C.A. Dutch Ruppersberger
Member of Congress"
Re:How about a day of EXPLANATION?!?! (Score:3, Interesting)
What if I write, perform, and record my own music? Can I make that available to the internet radio stations on my own more favorable terms (assuming it might be good enough for them to like, which is probably stretching a rubber band to the moon). Or do I have to use this Copyright Royalties Board rule? Do artists have to use the CRB or is that just a general choice made by the corporations that so many artists have signed their soul over to?
What about having internet radio playing indie music instead?
Interesting Strategy (Score:3, Interesting)
It seems to me that they do not care about sustaining the revenues from these small operators, merely getting them hit out of the market completely. Not because they think its logical and valid but because these small stations allow for a lot more EXPOSURE to different musics. The Recording industry seems to be heart-set on controlling the united states listener market, indoctrinating them into their current "top 40 for your genre of choice" way of thinking. By keeping the royalties as a per-channel issue, the more styles people try to put out there, they have a direct incentive not to diversify. This allows the usual gang (CC, etc) to keep control of what music people are being exposed to.
How often to people buy cd's of bands they dont know? and if they manage to kill Fair-Use by the end of the day, they'll have it enforceably illegal to share with friends (in a MAFIAA perfect world).
Then all thats left is to mass produce more of the same crap, ensure its all the target market is exposed to, and guaranteeing revenue without need for unimportant points like "taste" or "quality". Seems to me the RIAA is slowly giving up on affecting the world and are instead trying to create a fortress out of the USA.
Re:How about a day of EXPLANATION?!?! (Score:2, Interesting)
If web radio truly wants to be independent, they should use this as an opportunity to break away from the shackles of the RIAA. They can/should make agreements with local bands or truly independent labels for web broadcast. This way they can broadcast and give exposure to independent artists, while at the same time avoiding the extreme licensing fees from the mandatory license. I would expect that these rights would come relatively cheaply as most local groups would love the chance to get some free/cheap exposure and drive up their concerts and album sales (which is what I have heard from the slash-mob is what the radio should be used for).
By forcing this through, RIAA may have just ceded webradio to independent artists. Those who are with it enough to be listening to web radio and care about this day of silence should be open enough to be willing to trade away listening to Britney on the web for music of actual quality.
Re:How about a day of EXPLANATION?!?! (Score:1, Interesting)
My Congressman's Response (Score:4, Interesting)
" Thank you for contacting me regarding H.R. 2060, the Internet Radio Equality Act. I appreciate hearing from you on this important, and I am pleased to tell you that I am a cosponsor of this bill.
As you know, on March 2, 2007, the Copyright Royalty Board (CRB) dramatically raised the performance royalty rates for webcasters. The CRB eliminated the percentage of revenue fee that many small webcasters used to determine their performance royalty. The move from a percentage of revenue to a per-song rate hits small webcasters the hardest. Royalty rates would increase over 300% for the largest webcasters and as much as 1200% for the smallest webcasters. This kind of rate hike would mean the end of many Internet radio stations that would not be able to stay in business under the crushing new royalty rates. Therefore, I have cosponsored H.R. 2060, the Internet Radio Equality Act. This bill would render the CRB ruling ineffective and would reinstate the percentage of revenue royalty payments. This bill has referred to the U.S. House Committee on Energy and Commerce and the Committee on Judiciary.
Thank you for contacting me about this important issue. I will continue to be a strong voice for you in Washington.
Sincerely,
Mike McIntyre
Member of Congress"