US Copyright Office wants surfers to pay for online listening
Music Industry News - as it happens
Source: MusicDish - February 25, 2002
We would have preferred a higher rate.
Hilary 'Reach Out' Rosen, Recording Industry Association of America (RIAA)
ceo and president.
If the powerful record company interests' goal was to strangle a
fledgling new service to radio listeners, it may have succeeded beyond its
National Association of Broadcasters ceo and president Edward O. Fritts.
These two completely divergent (but entirely expected) views follow a
recommendation from a US Copyright Office panel that providers of Net music
and other radio content should pay royalties.
Based on each Web user tuning in online, the royalties would be calculated
from fractions of a cent per-listen and would ultimately go to record
companies holding song copyrights and would include radio broadcasts and all
other copyrighted audio sent on the Net.
Radio stations streaming broadcasts must already pay additional royalty
fees, to the disgust of station operators who say they already pay licensing
fees to songwriters and music publishers so they can play the copyrighted
material on radio airwaves.
Now the greedy record industry wants even more, they say in effect.
A copyright office lawyer says the recommendations won't become final until
they're approved by government lawyers and the librarian of Congress, and in
the meanwhile, interested parties will for the next month be able to
comment on them.