DailyTech - SoundExchange Talks to Webcasters About a New Royalty Plan

Submit News

Gadgets SoundExchange Talks to Webcasters About a New Royalty Plan
Tuan Nguyen (Blog) - July 16, 2007 5:04 PM

28 comment(s) - last by dluther.. on Jul 19 at 12:16 AM

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.

Comments

Threshold

Username
Password
remember me

This article is over a month old, voting and posting comments is disabled

RE: only in america

By Targon on 7/18/2007 7:14:43 AM , Rating: 2

Right now, free health care is given to most illegal immigrants because they go to the hospital with no insurance, put down false information in the hospital, and then disappear. This is due to the law in many states that hospitals may not turn away patients for any reason.

Parent

"Well, we didn't have anyone in line that got shot waiting for our system." -- Nintendo of America Vice President Perrin Kaplan