It looks like Internet radio has taken another blow. The issue is a new policy set by the Copyright Royalty Board that, according to Cnet “prescribe rate hikes of .08 cents per song per listener retroactive to 2006. The rates would climb to .19 cents per song by 2010, which amounts to a 30 percent increase per year. Each station would also have to hand over a minimum $500 royalty payment under the ruling”. This policy will eseentially end Internet radio including streaming byt local stations such as KHUM.
Cnet’s article
Previous post on this issue
Update: There is a web site mobilizing support for Internet Radio.
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Congratulations Viacom, Clear Channel, your government comes through again.
Yep.
The station I worked for closed their doors two weeks ago now as a result of the new rate hikes.
I am so sorry to hear it. Though it is little consolation, it is evidence that internet radio was a little too successful and popular for the “big boys” to allow it to continue.
“America is now a land of socialism for the rich and brutal capitalism for the poor.”
— Robert F. Kennedy Jr.
Yeah, that’s terrible, Jay. I am sure many more will follow and streaming from regular radio stations will die. It’s not only stations that lose but lesser known artists, and, of course, the public, which will have less access to a variety of content.
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