The U.S. House of Representatives voted today to change the webcasting fees structure in order to save small webcasters from being pushed out of the business. An earlier bill introduced a fee structure that made a lot of online radio stations close, because they simply could not afford it.
The new fee structure will let online radio stations pay a percentage of their revenues to labels and artists, instead of a flat per-song fee.
This represents compromise from both sides," said Michael Roe, owner of RadioIo.com and one of the small Webcasters who participated in the negotiations. Even if it remains controversial, the bill "will provide for the short- and long-term future of the industry," he said. The bill, which still must pass the Senate before Webcasters will see any tangible effect, marks a surprise political victory for a loose Internet community that had never previously launched any concerted political action. |
Webcasters are facing an Oct. 20 deadline for the first payments of royalty fees to record labels and artists for the rights to play music online. Those payments, set by the Librarian of Congress and the Copyright Office in a controversial June ruling, hold Internet radio stations responsible for paying about a 14th of a cent for every song they play for each individual listener.
After the earlier introduced bill, to loosen the DCMA, now also this bill seems to be heading in the right direction. Read more here
Source: News.com
