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SoundExchange puts a stop on its royalty hike and decides to hash a new plan with webcasters

Several days ago, DailyTech reported the online radio industry was about to meet its end when the D.C. Circuit Court of Appeals declined to put a stop on a new royalty scheme. Championed by SoundExchange, the new royalty scheme increases money flow for artists and labels.

Despite the court decision to go ahead with the new scheme, SoundExchange announced the new royalty scheme will be postponed, without any indication it will be continued. According to SoundExchange Executive Director Jon Simson, the group is in debate with online radio stations on an alternative plan, one that will allow them to continue their operation while compensating artists and labels.

The outcry by online radio stations was heard several weeks ago when a large number of stations banded together to protest against SoundExchange. While the government in large ignored the complaints, SoundExchange did listen -- even though it was the last entity on any stations' mind that would listen.

Pandora, one of the four largest online radio companies was one of many stations that took a stance against SoundExchange. Pandora founder Tim Westergren said users who called into Congress to voice against the changes all helped.

"This is a direct result of lobbying pressure, so if anyone thinks their call didn't matter, it did. That's why this is happening," said Westergren in a blog on Listening Post.

SoundExchange said it will now work closely with webcasters, large and small to form a new plan.


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RE: only in america
By Furen on 7/17/2007 5:03:07 PM , Rating: 2
I never said it would be "free," I know this beast would be tax supported. I'm currently taxed at 35% of my income so if an extra 5% would get everyone in the States healthcare then be my guest and take it. I would ceirtainly get more satisfaction from providing my fellow americans with healthcare than I do from subsidizing "farmers", oil companies and Halliburton. Also, close the gaping carried-interest loophole so I don't feel like I'm getting raped while Schwarzman gets taxed at a comfy 15% rate because he invests other people 's money.

Having basic healthcare for everyone will ultimately lower the drain on the system because people will be get preventive healthcare which is much cheaper than the healthcare that is provided to people once they're collapsing on the streets, not to mention that mortality rates would also decrease. I also believe that medical regulations need to be relaxed a bit (for example, allowing nurses to provide some basic emergency services) in order to make medical services more expedient and cheaper than they currently are. Also, cap the hell out of malpractice suits (with the possible exception of gross negligence resulting in death/permanent damage).


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