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Doublereed Archive - Posting 000016.txt from 2007/05
From: philfrei@-----.com
Subj: [DR-L] New Web-streaming Fee
Date: Fri, 04 May 2007 15:37:41 -0400
Are folks following the controversy about the attempt to create a new
webstreaming royalty fee?
The RIAA (Recording Industry Association of America? - not sure of the
acronym) created a board called "Sound Exchange" which in turn was
given authority by congress to set royalty rates. They proposed a huge
increase in fees that are above and beyond the ASCAP/BMI/SESAC fees
that are already paid by web streamers. The fees wouldn't just go to
the composers, but also to the recording industry itself.
One effect of this increase is that the majority of the "little" DJ's
on Live365 (and this probably includes the station that plays all
bassoon pieces) would be forced to shut down. Many of these DJ's are
losing money every month anyway, but it's on the scale of around or
under $100 a month, something affordable to a dedicated hobbyist and
music lover wanting to share their collection or concept. Many of these
folks would find themselves with fees more on a scale of over $1000 a
month, with retroactive payments due, if the increase goes through. The
new rates simply are not in line what one can currently expect to draw
in on a per-person-per hour "click" ads and such.
I don't know about other folks, but I haven't bought a CD based on
anything I've heard on FM radio in something like 20 years. But at the
beginning of this year, having discovered web streaming stations, I've
bought a good half dozen. It's nice being able to find a good quirky
station with an interesting playlist, compared to the blandness of FM.
NPR is lobbying against this fee, also, as the cost of their
simultaneous webcasts would go through the roof.
I feel a bit guilty getting worked up about this when there are many
serious issues which deserve more attention. But since the outcome
affects me more personally than most, I'm thinking it's incumbent on
folks like me to try to let people know something is up here. My
interest? Not just as a listener, but as a "niche" composer--I much
prefer my chances to build an audience, self-publishing, through small
pond DJs than trying to land a "real" (oligarchy?) mainstream recording
industry contract.
Here's the link for the RIAA, to get the "pro" side for the fee
increases:
http://www.soundexchange.com/
Here's Live365's site for rallying it's listenership AGAINST the fees:
http://www.live365.com/choice/
Here's Guy Mallery's wonderful basoon streaming link:
http://www.live365.com/stations/guy_mallery
- Phil Freihofner
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