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HELP SAVE INTERNET RADIO! SAVENETRADIO.ORG
On March 2, 2007,
The US Copyright Office (CRB) stunned the Internet radio industry by releasing a ruling on performance royalty fees that are based exclusively on the number of people tuned into an Internet radio station, rather than on a portion of the station's revenue. They discarded all evidence presented by webcasters about the potentially crippling effect on the industry of such a rate structure, and rubber-stamped the rates requested by the RIAA (Recording Industry Association of America).
Under this royalty structure, an Internet radio station with an average listenership of 1000 people would owe $134,000 in royalties during 2007 - plus $98,000 in back payments for 2006. In 2008 they would owe $171,000, and $220,000 in 2009.
There is no way for a station with 1000 listeners to make that kind of money. That's over $11 per listener per month in 2007. No Internet radio station currently operating comes even close to that kind of income. In other words, if they are allowed to stand these rates are a death sentence for independent Internet radio stations. The only stations that would survive would be those who can afford to operate at that kind of loss, such as AOL (who would owe over $20,000,000 in 2006, far in excess of their income from radio).
The CRB approved royalty rates that will bury any small webcaster, and create a heavy burden even for big broadcasters like Yahoo, AOL Music and Pandora. How high will these rates be? Around 100% of a small webcasters revenue, give or take a few points, in most cases. What?! That's impossible to pay! Yep, it sure is..
How did this happen? The RIAA told the CRB thats what they wanted, and the CRB just gave it to them.
Your're probably thinking, hey that's awful, but who are the the RIAA and CRB?
RIAA (Recording Industry Association of America) is a lobbying group formed by the five largest record labels. They are embedded in Washington D.C. They make sure laws are written to keep them rich, no matter what. They made headlines a few years ago opening lawsuits against elderly people, single mothers and children for trading music online, even though some of them didn't even have computers. Check out the latest RIAA headlines.
The CRB (Copyright Royalty Board) is part of the US Copyright Office. The Board is charged with determining the royalty rates that would be determined by a willing buyer and a willing seller in a marketplace transaction. They decided to jack the rates beyond a broadcasters means despite decades of royalty rates being 1 - 2% of broadcaster revenue. Raise your right hand if you want to take away consumer choice, hurt working artists, damage small record labels and put small webcasters out of business.
HOW CAN I HELP? TAKE ACTION NOW
Links:
1. More Information: Save Net Radio
2. 'New' Royalty Rates
3.
Write Your Congressional Representative
4. *Sign the Save Internet Radio Petition*
5. Contact the Copyright Royalty Board Directly
6. Write Your State's Senator
Thank you for you support. Make your voice heard!
Without your help... Internet radio will dissappear.