Feeds

Royalties deal lets internet radio play on

Copyright compromise reached

SANS - Survey on application security programs

An agreement has been reached to help ensure the future of internet radio by warding off potentially devastating copyright-royalty rate hikes.

The deal is between SoundExchange, a nonprofit royalty collection and distribution organization associated with the Recording Industry Association of America, and three small internet-radio webcasters: radioIO, Digitally Imported, and AccuRadio.

The terms of the agreement were compromises two years in the making.

In March of 2007, the US Copyright Royalty Board dismissed arguments made by the International Webcasting Association and others and instituted a royalty rate structure that was decried by observers such as the Radio and Internet Newsletter as being so weighted toward copyright holders that it would put most music-providing webcasters out of business.

Today's agreement backpedals significantly from the 2007 proposal, and is legally binding under the Webcaster Settlement Act of 2008 passed by the US Congress last year and recently updated.

Under the settlement, large commercial webcasters will pay up to 25 per cent of their revenue to copyright holders - a far cry from the 70 per cent or more that would have resulted from the earlier proposal.

Smaller webcasters will pay a fee derived from a calculation based on either a percentage of their revenue or their expenses. A detailed explanation of the terms of the agreement can be found in a posting on the SoundExchange blog.

Although the scope of today's agreement is specific only to the three aforementioned small webcasters, others are expected to quickly sign on. Jonathan Potter, executive director of the online-media trade group Digital Media Association (DiMA), said in a statement: "We are pleased that today's royalty agreement... will provide some relief from the crushing royalties that were imposed by the Copyright Royalty Board."

He continued: "DiMA anticipates that some of our members will take advantage of this new license." But that "some" may grow to "most" as both small and large webcasters examine the deal and consider their limited options.

One top-of-mind internet radio group, Pandora Media, appears ready to jump on board. The Associated Press quotes Pandora's founder, chief strategy officer, and Cat Stevens fan Tim Westergren who said: "For us, it's hard to overstate how significant this is. It was either this or an ugly alternative." ®

3 Big data security analytics techniques

More from The Register

next story
Dropbox defends fantastically badly timed Condoleezza Rice appointment
'Nothing is going to change with Dr. Rice's appointment,' file sharer promises
Audio fans, prepare yourself for the Second Coming ... of Blu-ray
High Fidelity Pure Audio – is this what your ears have been waiting for?
Did a date calculation bug just cost hard-up Co-op Bank £110m?
And just when Brit banking org needs £400m to stay afloat
MtGox chief Karpelès refuses to come to US for g-men's grilling
Bitcoin baron says he needs another lawyer for FinCEN chat
Zucker punched: Google gobbles Facebook-wooed Titan Aerospace
Up, up and away in my beautiful balloon flying broadband-bot
Apple DOMINATES the Valley, rakes in more profit than Google, HP, Intel, Cisco COMBINED
Cook & Co. also pay more taxes than those four worthies PLUS eBay and Oracle
Number crunching suggests Yahoo! US is worth less than nothing
China and Japan holdings worth more than entire company
prev story

Whitepapers

Securing web applications made simple and scalable
In this whitepaper learn how automated security testing can provide a simple and scalable way to protect your web applications.
3 Big data security analytics techniques
Applying these Big Data security analytics techniques can help you make your business safer by detecting attacks early, before significant damage is done.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Top three mobile application threats
Learn about three of the top mobile application security threats facing businesses today and recommendations on how to mitigate the risk.
Combat fraud and increase customer satisfaction
Based on their experience using HP ArcSight Enterprise Security Manager for IT security operations, Finansbank moved to HP ArcSight ESM for fraud management.