SoundExchange Gives Webcasters A Break
Not so long ago, the recording industry and many, though not all,
webcasters breathed a sigh of relief as they negotiated an agreement
on rates to be applied to small webcasters. The agreement, enshrined
in bill HR. 5469 which passed the House, would have allowed small
webcasters to pay on a per-revenue basis instead of the
per-performance rate ordered by the Librarian of Congress. Problem
solved right? Not without the Senate which dropped the ball by
failing to pass the bill before leaving for election campaigning.
Enter SoundExchange which administers the collection and distribution
of webcasting royalties. The organization unveiled a 'temporary
payment plan' which would waive the per-performance rate in effect
starting October 20 for qualifying small webcasters. Instead, they
would be required to pay the annual $500 annual minimum fee for each
year of operation since 1998.
"Given the unfortunate fact that a lone Senator apparently held up
the small webcasters' bill, we felt it appropriate to offer this
proposal," explained SoundExchange Executive Director John Simson.
Although many webcasters are likely to balk at paying up to $2,500 by
October 21st while the situation remains uncertain the Senate
reconvenes, the alternative would have been a tragedy confirming
webcasters and listeners worst fears. Considering that webcasters are
not likely to get a better deal from Congress, SoundExchange's
announcement is more than reasonable and provides webcasters with the
breathing room to operate.
Related News from Mi2N:
» SoundExchange Announces Temporary Payment Plan While Congress Considers Small Webcaster Legislation