The End of Internet Radio
Jun 15th, 07 | 9 remarksDo you listen to streaming internet radio on a regular basis? Did you know July 15th, 2007, could be the last time you’ll be able to do so? If you’re not aware of the situation, here’s a very brief rundown:
The Copyright Royalty Board is putting the screws to internet radio. Exactly one month from today, a ruling handed down in March will require all internet radio stations to pay substantially higher royalty fees. So high in fact, most stations will go bankrupt (the rate is 4x higher than that of satellite radio). As if that weren’t enough, the increase is retroactive to Jan 06, which should effectively bury any remaining stations (who could’ve sustained the fees).
This ruling is devastating not only for stations, but also for indie musicians and labels, and countless creatives across the globe who live and work to the rhythm of one genre or another. I for one, embrace music as a core part of my life, and in my house it plays constantly. Depending on the type of work I’m doing, (whether it’s something focus-intensive like coding, or just mindless chores, I have a favorite station, album or artist for every mood and task.
If you’re a music-lover and want to help avert the possible loss of internet radio, SaveNetRadio.org has a list of Senators and Representatives you can write to or call and let your voice be heard. They also have banners to help spread awareness, and a mailing list for international users who want to get involved. Donations are being accepted as well.
Will Pandora be affected too? I’m not sure how this fits into the net radio thing.
If you haven’t heard of Pandora, it’s “music discovery service.” You type in a favorite song or artist, they identify some characteristics about the music and then play similar kinds of music. It’s a great way to discover more songs and artists you may never have heard before! But technically, I think it might be considered net radio :(
Jun 15, 07 | 2:29 pmWow I didn’t know this. I used to play on an internet radio station. I was a DJ when I was young and trendy. :p
Always winds me up stories like this, because it’s such a short sighted initiative. It doesn’t seem to serve any purpose? Internet radio will survive because whoever the Copyright Royalty Board are, they don’t have any power to make charges to the tens of thousands of non-US internet radio stations, and they don’t have any power to stop people in the US listening to these stations?
So who benefits?
Jun 15, 07 | 2:35 pmLaurenMarie - I’ve heard of Pandora, but I haven’t played with it much. I used it once to find some old obscure 10,000 maniacs songs. ;) Last.fm has a similar feature. I’m not sure how (or if) either of them will be affected. Food for thought.
Aaron - young and trendy? Are you feeling your age a little today? You’re not alone if it’s any consolation. ;) Good point about the stations abroad. I hadn’t thought of that, but it’s encouraging. Some of my faves are based in Edinburgh and the UK anyway!
Jun 15, 07 | 3:10 pmI agree with you, Aaron. It’s very short sighted. They need to instead harness the power of net radio and use it to their advantage, not try to essentially ban it. You think they’d learn that doesn’t work!
Pandora’s founder talks about the ruling on his blog (http://blog.pandora.com/pandora/archives/2007/03/riaas_new_royal.html) and he has some very good things to say. Apparently Pandora may go down with the rest of them if nothing is done. In an article over at USA Today about Pandora (http://www.usatoday.com/tech/webguide/music/2007-05-22-net-radio_N.htm?csp=34), the founder (of Pandora) is asked the question “Shouldn’t artists get paid a fair rate?” and he responds in the affirmative. I kinda think he should’ve said it’s not the artists that will reap most of the benefits from this “deal,” (http://entertainment.howstuffworks.com/music-royalties1.htm) it’s the record labels, and they need to stop trying to make money off every little transaction and play because they will make the consumers go underground and then they will make NO money! Grr. I wonder how the artists feel?
Jun 15, 07 | 3:21 pmNOTE: The URLs Lauren’s referred to in her comment were for some reason not showing up, so I edited her post to include the links so they could just be copy/pasted. Sorry everyone. Checked all my settings and could not for the life of me figure out what the problem was. Ugh, so glad it’s Friday. :)
Thanks for the links Lauren!
Jun 15, 07 | 4:46 pmOh no! It’s something music-related on the Internet! Quick - shut it down, or charge for it, or sue people for using it… We can’t have new-fangled stuff like that going on if it’s out of our control!
Sucky.
I’ve listened to music since I can remember, been a DJ since I was 10, and even worked for an Internet radio station at one point… I just don’t get these people who are scared of something being free.
Jun 15, 07 | 5:32 pmSickening I agree. Remember the days of Napster? Ah what a beautiful thing it was! ;)
Seriously though, I have no problem with copyright, or paying for music, because the musicians who put their souls into their craft deserve to benefit - but what really gets me about this whole thing is people aren’t even stealing the music!
It’s just radio, and now they want to rob us of that too. Lord knows the regular radio stations near where I live are lame, and w/o internet radio I’d be so out of touch.
I’d really love to know how the CRB can justify charging 4x what satellite radio is charged. Should be standard across the spectrum. It’s just not right. Money-grubbers.
Jun 15, 07 | 6:23 pm[...] with the tag! I’m gonna get Tara (when she’s back from her holiday), David Airey, Charity, Vivien and Randa. You’re [...]
Jun 16, 07 | 5:15 pmDon’t believe all you read… a full discussion from the point of view of an independent musician who looked into all the facts…
http://www.blogdarren.com/2007/06/16/performance-royalties-in-the-digital-era-a-non-dima-tainted-view-for-the-independent-musician/
Small webcasters will still be allowed a discounted rate under the SWSA announced on 5/22/07
Jun 22, 07 | 8:39 pm