Internet Radio May Be Doomed; Congress Appears Unlikely to Help

[demobabe]

A BUZZFLASH NEWS ALERT

A congressional subcommittee held a hearing Wednesday on a decision the previous day to hike Internet radio royalty rates well beyond what most free stations will be able to afford.

Prior to the ruling, most Internet stations paid royalties based on a percentage of their revenue. Now, outdated copyright laws are being interpreted to require stations to pay a fixed amount per song, per user. What's more, stations are being forced to pay royalties for all of 2006 retroactively.

The royalties paid by FM and satellite radio channels are far less stringent even though they typically all have commercials or subscription fees, unlike most Internet radio stations.

"This represents a body blow to many nascent Internet radio broadcasters and further exacerbates the marketplace imbalance between when different industries pay," said Rep. Edward Markey, chairman of the Commerce subcommittee.

Vice-Chairman Rep. Mike Doyle called the new royalty provisions "outrageous" and noted the many calls his office has received about the matter. Unfortunately, Doyle's press secretary Matt Dinkel tells BuzzFlash that Congress is unlikely to complete any legislative action on this issue before the appeals process expires.

More here: http://www.buzzflash.com/articles/alerts/196

[napi21]

1. A per song fee? How does this affect talk radio?

So far I havent heard any of the hosts singing...THANK GOD!

[NYCGirl]

4. It doesn't affect talk radio, because there are no royalties involved. NT

[Nikki Stone1]

2. Kicking and recommending

:kick:

[msongs]

3. there should be a blanket license deal like over the air stations have nt

[demobabe]

5. I agree - you would think this is what they'd do

This issue has popped up a few times since internet radio began. I just love these "retroactive" fees due... how can they do this?

[demobabe]

6. kick

:kick:

[and-justice-for-all]

7. What a bunch of bullshit!!!

The FCC will not give us apps or a window for LPFM and now they want to hinder internet broadcasting with this lame shit! All for the sake of media monsters like Clear Channel and Murdochs fucking greed. FUCK THEM, they can kiss my ass!

The internet is an open forum for ALL people, because its by the people and was never meant to be dominated by the Media Rapeist who already have managed to wrap their greedy hands around every form of media we have. GO TO HELL CLEAR CHANNEL and MURDOCH CAN GO FUCK HIMSELF!