Sony Agrees to Stop Payola

dsginter writes "Sony BMG Music just reached agreement with New York Attorney General. Sony spokesman John McKay admitted that the practice was 'wrong and improper' but the company engaged in the activity anyway. They were fined $10 million and have agreed to obstain from the practice in the future. Is this the first step toward getting our airwaves back or is this just a slap on the wrist?"

Comments

Why does it matter?

[putko]

I was trying to figure out why payola bothers Americans.

I don't think it is simply that radio stations are using a public resource -- if all radio was private (ala Sirius or XM), I think folks _would_ mind a bit if stuff was getting paid because the company was getting stuff in return. But I think they'd mind less, because they'd figure that Sirius can do with its spectrum what it wishes, because they've paid for it.

I think what bothers folks is the fact that it is done in an underhanded, secretive fashion. This last case took it to whole new levels of Talmudism (just RTFA to see).

Imagine if they said, "this next Madonna song was sponsored by EMI. Madonna is so great! Buy the album." I just don't think people would mind so much.

Re:Meh - American Radio is beyond hope

[weharc]

As an Aussie who spent 9 months last year travelling all over Canada and the US (most of it by car), I have to agree with your assessment of US radio.

PBS was the only station I could stand to listen to in the US, the sheer crapness of music on any of the commercial stations we stumbled across was infuriating. We travelled across 37 US states so we got a fairly wide ranging sample ;-)

We found CBC in Canada to be pretty darn good, so I don't think it was just the "culture shock" of being in North America and missing home. I can't defend any Australian commerical radio stations either after being converted to JJJ a few years ago.

The choices in US commercial radio stations just seemed so limited to:

Country <shudder>

Christian <shudder again>

Country Christian <turn it off, turn it off!>

That's all part of the fun of travelling another country and experiencing someone else's culture I guess!

Harv.

Re:What's wrong with payola?

[arkanes]

No, radio stations play stuff that will make them the most money - at least all the corporate ClearChannel ones do. Therefore, when one option is to hire a few local DJs who know the tastes of th region, maybe do a show where the air local bands, that sort of thing, and the other option is to centralize all your programming in return for kickbacks from the labels, it's a pretty easy choice.

It's even easier when you realize that the ClearChannel execs are just as interested as the label execs in having a single, nation (world!) wide music market with consistent taste - it means you get your kickbacks *and* you get the higher listener count which means more advertising dollars.

And yes, there is a problem. This stupid neo-capitalist crap about how public services shouldn't be allowed and the only purpose of the government is to claim resources on behalf of whatever corporation offered up the most about of teenage hookers this week is bullshit. People who seriously believe this sort of thing should be sent to live in capitalist gulags or something, because they're clearly unable to comprehend the usefulness of living in an actual society of cooperating individuals.

The airwaves are a public resource. They are similiar to IP in that they're totally unlike traditional property. Similiar again to the concept of copyright, the FCC, on behalf of the commons, grants exclusive rights to certain spectrums so that they can be commercialized, but with the explicit requirement that the public good be served. Now, of course, nobody gives a fuck about the public good, and it's all rant rant rant, I shouldn't have to pay taxes, why can't I make money, look at my cock dangle I'm a capitalist. I say, if you don't care about the public good, I don't see why the public should give a fuck about you.