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SoundExchange, large music webcasters reach deal to cap roya

 
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Liberia cjjeepercreeper
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PostPosted: Fri Aug 24, 2007 2:30 pm   Post subject: SoundExchange, large music webcasters reach deal to cap roya Reply with quote


The latest on this mess

SoundExchange, large music webcasters reach deal to cap royalty fees
Linda Rosencrance


August 24, 2007 (Computerworld) SoundExchange Inc., the group set up by the Recording Industry Association of America to collect royalties for performers and record companies, said it has reached an agreement with the Digital Media Association whose members include large music webcasters, to cap royalty fees at $50,000 per webcaster per year.

The groups are still negotiating to set the rates for each play of a song, the two groups said.

The new rates were set by the Copyright Royalty Board (CRB) of the Library of Congress in early March and went into effect May 1, retroactive to the start of last year. The first payments under the new rates were due July 15.

The rate increase would at least triple the amount of royalties Internet radio broadcasters must pay to copyright holders per song, and it has been challenged by webcasters, Internet radio listeners and more than 6,000 artists over the past several months.

"This agreement marks an important first step in the Internet radio royalty negotiation process," said DiMA Executive Director Jonathan Potter, in a statement. "We're encouraged by this development and the knowledge that good faith negotiations have begun. We look forward to the next step of negotiating the royalty rates that will allow for the growth of the Internet radio industry, a platform for music discovery for consumers."

The webcasters, including AOL, Live365, MTV, RealNetworks, Pandora.com and Yahoo Music, have also agreed to provide SoundExchange with all the data of songs they broadcast so SoundExchange can accurately distribute royalties to independent artists and record companies.

In addition, SoundExchange and the DiMA will form a committee to look into the issue of stream ripping, which copies sound recordings in webcasts, as well as antistream ripping technologies. SoundExchange seems to have backed off its previous request that the large webcasters implement this technology as part of the deal to cap the webcasters' fees.

"This agreement shows that we can address specific issues of concern to the industry through private negotiations while upholding the integrity of the CRB process and while protecting the interests of SoundExchange members," said John Simson, executive director of SoundExchange, in a statement.

Neither the DiMa nor SoundExchange could be reached for comment.

Earlier in the week, SoundExchange also extended an olive branch to small webcasters, those who earn $1.25 million or less in total annual revenue, offering them a discounted rate though 2010. As part of the agreement, small webcasters would pay royalty fees of 10% or 12% of their revenue.

Small webcasters have until Sept.14, 2007, to accept the agreement, or face paying the new rates.

However, David Oxenford, a lawyer representing small webcasters, said the offer is the same one SoundExchange proposed in May and doesn't address the criticisms of the offer the small webcasters had at that time.

Oxenford said the offer doesn't allow small webcasters to grow their businesses, "artificially condemning them to be forever small, at best minimally profitable operations, in essence little more than hobbies," he said in the statement.

In addition, Oxenford said the offer only allows the small webcasters to play the music of SoundExchange members. If they play the music of artists who are not members, they would have to pay the new, higher royalty rates.

"The only way to resolve these issues is through meaningful negotiations, or through legislation like that proposed in the Internet Radio Equality Act," he said in the statement. "Unilateral proposals simply don't address all the issues that have caused so much outrage over the CRB decision. In order for these independent companies to build profitable businesses that will promote music and be able to pay reasonable royalties, something more than what SoundExchange has offered must be available.

http://www.computerworld.com/action/article.do?command=viewArticleBasic&articleId=9032622&source=NLT_PM&nlid=8[/b]
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PostPosted: Fri Aug 24, 2007 6:42 pm   Post subject: Re: SoundExchange, large music webcasters reach deal to cap Reply with quote


Quote:

In addition, Oxenford said the offer only allows the small webcasters to play the music of SoundExchange members. If they play the music of artists who are not members, they would have to pay the new, higher royalty rates.


sorry, these guys (SoundExchange) actually ruin the music industry. or the human race. or both of them. i hope they'll finally meet the same fate as SCO (http://en.wikipedia.org/wiki/SCO_Group#2007)
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PostPosted: Fri Aug 24, 2007 7:56 pm   Post subject: Reply with quote


@CJ: tks again, Clark Kent Very Happy

@Digi: Yes

That are the leeches kicking about their source vanishing. A delivery nearest as possible from extremes is the fate of the internet. And we will live to see (and use) this.
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PostPosted: Sat Aug 25, 2007 10:19 am   Post subject: Reply with quote


They are asking for piracy, aren't they ? Grin
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Liberia cjjeepercreeper
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PostPosted: Sat Aug 25, 2007 10:22 am   Post subject: Reply with quote


Between these guys and the RIAA they are bound and determined to kill "underground music". I wouldn't know about 75% of the music I listen to without places like DFM and the occasional download to sample something that sound interesting.
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PostPosted: Sat Aug 25, 2007 10:43 am   Post subject: Reply with quote


Quote:
They are asking for piracy, aren't they?


Indeed, Dami & CJ. Many times i feel myself pushed to the Dark Side of the Power 'cause those leeches insist to stay between me and the artists or developers.

I respect Intellectual Property and imagine that some Professional Production is necessary, but those middlemen gone too far.

As the world is ruled by the fucking commerce, we will have to wait sometime til horizons become less hazy.

Til now, i have got to sustain my no-piracy principles. Peace
Liberia cjjeepercreeper
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PostPosted: Sun Oct 07, 2007 12:30 pm   Post subject: Reply with quote


The latest, from a few weeks ago:

FOR IMMEDIATE RELEASE: Contact: Jake Ward (SaveNetRadio)
September 19, 2007 202-420-8056
"Small Webcasters Reject SoundExchange License"
Deal With Us In Good Faith or No Deal!
Wednesday, September 19, 2007 SAN FRANCISCO, CA. – Thousands of small
webcasters stand firm by rejecting the most recent Copyright Royalty Rate proposal made
by SoundExchange. The latest take it or leave it “offer” made by SoundExchange on
behalf of the recording industry has done nothing to further negotiations with webcasters,
and a mere 24 small webcasters have felt they had no choice but to give in to the record
labels demands.
The following is a statement issued by a group of small webcasters today:
We, the undersigned have made it very clear to the Sound Exchange exactly why this
latest offer is unrealistic and unacceptable. Its terms are not viable for webcasters
seeking to run profitable businesses. One such term is the newly added ATH (Aggregate
Tuning Hour) cap which immediately makes many mid-level webcasters ineligible for
the recently presented agreement. For stations with revenues far below the $1.25 million
cap, but with healthy listener bases, this ATH cap forces payments at the CRB rates.
This deal is not feasible for anyone who wants to grow their business. It contains the
aforementioned $1.25 million revenue cap, which limits growth and puts in place a
dangerously low hard ceiling for revenue generation. The Small Business
Administration revenue cap for over-the-air broadcasters to be considered a small
business is $6.5 million – this would seem a fair cap, with precedent.
Also, the offer only covers copyright holders that are SoundExchange members, of which
there are approximately 20,000. Between us, the undersigned webcasters played far more
artists than that in the last year. Under the SoundExchange offer for artists not on that
limited roster, webcasters would have to pay at the bankruptcy-level rates, which were set
in the fatally flawed Copyright Royalty Board (CRB) ruling in March. Those CRB rates
were condemned by webcasters, the press, and members of Congress and deemed as
wildly out of line and detrimental to all parties concerned – including the RIAA.
We have asked for a reasonable, long term solution, not one that is subject to increase at
the whim of the record industry every five years. 2010 is little more than 2 years away,
and it would be difficult for any business owner to accurately forecast profits and build a
successful business model with a huge expense variable looming in the future.
Although several of the webcasters listed below are currently involved in direct
negotiations with Sound Exchange, the process remains exceedingly slow and
increasingly unpromising. In the continuing absence of a genuine offer that would allow
internet radio to continue to be the vital medium for new music discovery we implore our
listeners and fans of internet radio to continue to urge your legislative representatives to
pass the Internet Radio Equality Act (HR2060, S.1353).
For information on how you can contact your representative, please visit
http://www.savenetradio.org.
Signed:
Jeff Bachmeier, .977
Val Starr, GotRadio.com, 100hitz.com
Rusty Hodge, Somafm.com
Rick White, BigR Radio. 1faith.fm
Donnie Mowbray, 181.fm
Kurt Hanson, AccuRadio
Dave Landis, Ultimate 80’s
Bill Goldsmith, Radio Paradise
Ted Leibowitz, BagelRadio
Sal Amato, Dot1media
Brandon Casci, Loud City
Jim & Wanda Atkinson, 3WK
Ari Shopat, Digitally Imported
Mike Roe, Radio IO

http://www.savenetradio.org/press_room/press_releases/070919-reject.pdf
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PostPosted: Sun Oct 07, 2007 10:14 pm   Post subject: Reply with quote


I don't get it.. this is valid for US radios only right?.. so, move DFM to a server from Africa!!.. or wherever in this big fucked up world.. would that be possible?
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