Internet Radio's "Last Stand" 316
We've been discussing the plight of Internet radio for some time, as the Copyright Royalty Board imposed royalties that industry observers predicted would prove lethal to the nascent industry. We discussed Web radio's day of silence in protest, which won the industry a reprieve, and the futile efforts to find relief in Congress. Now it's looking as if the last act is indeed close. Death Metal Maniac sends along this Washington Post story with extensive quotes from Pandora CEO Tim Westergren, who said: "The moment we think this problem in Washington is not going to get solved, we have to pull the plug because all we're doing is wasting money... We're funded by venture capital. They're not going to chase a company whose business model has been broken." The article estimates that XM Satellite Radio will pay "about 1.6 cents per hour per listener when the new rates are fully adapted in 2010. By contrast, Web radio outlets will pay 2.91 cents per hour per listener." That's 70% of projected revenue for Pandora; smaller players estimate the hit at 100% to 300% of revenue.
The day the music died (Score:5, Funny)
(I have to pay $0.08 for every person reading this post because of the subject.)
Re:The day the music died (Score:2, Funny)
I read it twice (bad memory), then read it to three friends. How much do I owe?
Re:What it comes down to is GREED! (Score:5, Funny)
Actually I have a buddy who broadcast using a server in Sweden, they don't care and if anyone busts in the bunker to get to the servers they explode, yeah they're hard core about server rights.
Re:Royalty Pricing (Score:5, Funny)
Re:Internet radio will live forever (Score:3, Funny)
That's not legal. No matter what the law says, that's not legal.
Re:The day the music died (Score:3, Funny)
I saw this this weekend - don't hammer my server too hard:
http://whathostingshould.be/ignore/inflation.jpg [whathostingshould.be]
(It is up off Rt. 15 in Greenville.)
Anyhow, that's what you owe.