July 12, 2007

Time (and hope) is running out for Internet radio

Thursday, July 12, 2007 at 8:36 PM

Internet radioJuly 15th is coming. That's the deadline before Internet radio royalty rates are changed, and the industry suffers a major blow that could put many out of business. Unfortunately they've hit another roadblock.

The U.S. Court of Appeals for the D.C. Circuit has denied a "motion to stay" for the rate hike. An appeal, along with the motion to place a hold on the CRB's decision, was filed back in May. But the court announced yesterday that the parties didn't meet the standards required for a stay to be granted.

"We are pleased by this decision, which vividly demonstrates that the Copyright Royalty Judges got it right when they set royalty rates and terms for the use of music on Internet radio," John Simson, Executive Director of SoundExchange, said in a statement. "This is a major victory for recording artists and record labels whose hard work and creativity provides the music around which the Internet radio business is built. Notwithstanding this victory, we continue to reach out to the webcasting community to reach business solutions."

Save Net Radio is urging webcasters, artists, labels and Internet radio listeners to contact members of Congress to push an immediate vote on the Internet Radio Equality Act. Congressman Jay Inslee (D-WA), who co-sponsored the Internet Radio Equality Act, asked Congress for help earlier this week.

Saying that Internet radio as "ingrained in a lot of Americans' daily lives as a cup of coffee and the morning newspaper," Inslee added that "this guillotine will come down on July 15 if either Congress doesn't act or an agreement is not reached."

[FMQB]

Internet Radio: July 2007 (1)