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Small Webcasters Offered a Rate Break, Reject It

Pontifex minimus writes "Music royalty collection group SoundExchange has offered an olive branch to small webcasters. They are willing to delay the exorbitant new rates set by the Copyright Royalty Board until 2010 for small webcasters in hopes that they can keep Congress from passing the Internet Radio Equality Act. Larger outfits, like Live365 and Pandora would not be affected and would have to pay the new rates. '"Although the rates revised by the CRB are fair and based on the value of music in the marketplace, there's a sense in the music community and in Congress that small webcasters need more time to develop their businesses," said John Simson, executive director of SoundExchange.' SaveNetRadio rejected SoundExchange's offer, saying that it 'throws large webcasters under the bus.'"

4 of 123 comments (clear)

  1. A rhetorical question by ShooterNeo · · Score: 4, Insightful

    So, if band X is played on an internet radio station, will the royalties from that performance actually GO to that band? Or vanish into the black hole of "soundexchange", with a pittance going to the actual creator of the song?

  2. Broadcast by JackSpratts · · Score: 4, Insightful

    they shouldn't be paying a penny more than the terrestrial stations, which has always been a simple composition mechanical.

    soundexchange's first round of performance royalties in june '02 killed some 40,000 bedroom broadcasters overnight.

    2010's next round will simply finish off the rest.

    - js.

  3. Raw Deal For Artists Too. by twitter · · Score: 4, Insightful

    Sound Exchange will also forbid free and lower cost competition, regardless of artist and publisher intention. They will collect their little fees from everyone, in violation of Creative Commons terms. Those who want their royalties will have to join them, which makes it look like they have the artist's endorsement. Then they will have to trust Sound Exchange to give them what was really collected, less fees. In other words, the RIAA monopoly on music distribution will be extended into the future against the will of artists and the public. There is no technical justification for this, it's pure corruption.

    --

    Friends don't help friends install M$ junk.

  4. The scorpion and the frog by Simonetta · · Score: 5, Insightful

    This is a case of scorpion and frog. You know, the scorpion needed to cross the river. He asks the frog to carry him. Frog says no, 'cause you'll kill me. Scorpion says 'why would I do that? I'd drown. Let's be friends. Frog gets halfway across, scorpion stings him. As they both die, frog asks why. Scorpion says 'because I'm a scorpion, this is what I do'.

        The global music media corporations know that all the fighting new technology and RIAA extortion is not in their best interest. But they can't help it. It's what they do. They're on auto-pilot self-destruct. They're smart guys, they know this. They just can't do anything about it.

          Their entire perspective is based on the not-unrealistic assumption that they are the focal point of the best music in the world. The best groups, the most talented artists have and will continue to come to them in order to distribute the recordings. They don't believe that anyone interested in a musical career would not come to them, on their terms. That's the key to their entire 'take it or leave it' approach. Because they honestly believe that no one will leave it.

          What may happen is a transformation of media from a centralized distribution to a scattered and disorganized collection of xenophobic subcultures who aren't interested in sharing their music or media works. Should this happen, the media corporations most likely won't notice it. They sell primarily to young people and the percentage of people who are young is rapidly growing. So their market is growing. The fact that their sales of CDs are stagnant is truly amazing. Most likely, it's not true.

          I encourage people to gradually disassociate themselves from the products of the global media corporations. Yes, it is true that you will miss great music. You will suffer the occasional social embarrassment of not knowing (actually not knowing, not pretending to not know) who the latest stars are. I'm not going to claim that it's worth it or a self-righteous thing to do. I'm just suggesting, all the celebrity media, let it slide away. There are other things more important. Concentrate on them instead.