July 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]

There goes the "new competition" we've been hearing about.
Now, all they've got is the Ipod, which is fundamentally the same as a CD -- a sound recording.
Until I got XM, I did listen to quite a bit of Internet Radio. But it's a dead issue for me now. I'm totally addicted to XM.
Bye bye Slacker? Or Pandora?
> Bye bye Slacker? Or Pandora?
Slacker at least (and probably Pandora) has negotiated their own deal with the labels, this does not affect them. They are also not "streaming" services like traditional net radio. They load the entore song over a broadband connection when the song loads. It's all there, the software just won't let you ff or rw, likely part of their deal.
Not so fast. This just in - INTERNET RADIO IS SAVED!!!
http://blog.wired.com/music/2007/07/breaking-news-o.html
I never listened to much streaming radio, but with XM, when I need it - I got it.
What I wonder is what the music industry really expects to gain from all this. Forcing extortion rates will just shut down the streams - and if there are no streams, there's no income - no matter what the rates are.
Are they seriously trying to work with streamcasters, or are they just trying to shut down netcasters so that people will be forced to buy more music? Wait, maybe that's what this really is - someone decided that streaming media is slowing record sales, so by destroying the net radio industry, record sales will go back up.
It's stupid decisions like this that are destroying the record industry. Pretty soon, it'll just be Disney, Sony, and a bunch of independents. Maybe that's a good thing - I'm getting so tired of the same corporate music. The only music I've actually bought recently has been from decidedly "un-corporate" bands, and as Disney monopolizes the industry with more Hilary Duff look-alikes, it's only going to get worse.
while its true (atleast from what ive read) that Slacker will not be affected here....Pandora is in trouble. AFAIK they will be subject to these rate increases and in turn will struggle to survive....it really is a sad day.
This is more good news for the white-haired shyster. Internet radio was the only other major type of radio that offered commercial-free music programming.
Enjoy those commercials on the music channels if the merger gets approved.
Maybe the WiMAX people will foil his plans by offering commercial-free music programming.
We can only hope.
>>"What I wonder is what the music industry really expects to gain from all this. "
This is the same industry that's suing children and old women. Fuck the RIAA. I'm gonna go download some music.
Enjoy those commercials on the music channels if the merger gets approved.
How is it that people can be so stupid as to think that Sirius and XM would air commercials and still get people to pay?
Sirius and XM CANNOT air commercials on their music channels. MILLIONS of SUBSCRIBERS would then UNSUBSCRIBE leaving any gains that are made from the commercials far short of the LOST REVENUE from the MILLIONS of people that would UNSUBSCRIBE and stop PAYING THEM MONEY.
And just who the hell is it that you think will suddenly take an interest in ads on satrad? Do you think that these real estate scaminar companies and the pills for lazy peckers can pay the freight? I sure as hell don't hear heavy hitting main stream companies buying what ad space is available on Siri/XM.
It's one thing if you want to run around and say that you think that they will air commercials. It is another to say something so stupid like "enjoy the commercials". Meat wick. Sirius, XM or XiriusM will be gone in a flash from the MILLIONS of subscribers that would UNSUBSCRIBE.
XM actually had commercials on its music channels when it began broadcasting. It took them off of the music channels when Sirius began broadcasting its music channels without them. I've also read reports that the management at Sirius practically had to twist Mel's arm to prevent him from putting commercials on the music channels when he arrived at Sirius.
The content of the music programming on satellite radio will still be 1,000 times better than the content of the music programming on commercialized terrestrial radio - commercials or no commercials If there is no other type of radio that provides commercial free music programming, millions of people will still pay for the better content on music programming on satellite radio - commercials or no commercials.
Maybe Good Old Mel will pull a Slacker by offering the commercial free music programming at a higher price.
If there's any way of squeezing some extra cash out of the subscribers, Good Old Mel will find it.
Easy there, dualsub2006. I think you just pissed and shit yourself.
Time will tell when it comes to Mel and the commercials. Besides, the merger will actually have to be approved, and internet radio will actually have to die, to make his plan possible.
From the looks of things right now, you're going to be a dualsub for a long time.
Someone tell me if I'm wrong about this, but didn't cable television originally start broadcasting without commercials? Millions of people didn't cancel their subscriptions to that service when the commercials were added.
Maybe the commercials are the real reason that the NAB opposes the merger so vehemently. The members of the NAB, more than anyone, know that Mel is the guru of radio advertising revenue. They know he plans to bring commercials to satellite radio after the merger.
The terrestrial radio industry could care less about losing 20-30 million listeners to satellite radio. It's the loss of hundreds of millions of dollars of adverising revenue that scares them.
They can't admit this publicly because it would totally destroy their argument that satellite radio doesn't really compete with terrestrial radio.
Then again, I'm paranoid Pete.
I agree with Sludge except for one thing. The death of internet radio would definitely help Mel bring commercials to the music channels, but it isn't necessary, or even important.
You can't take internet radio with you in your car.
Three cheers for Captain Sludge and his gang! You all missed one last weakness in dualsub's post, however. The low-rent, sleaze-ball sponsors that dualsub referred to are the only sponsors who will advertize on channels like Opie and Anthony and Howard Stern.
Many big-money sponsors will probably advertize on the music channels because they feel that the people who can afford satellite radio are more capable of buying their products than the people who listen to terrestrial radio
.
That's one of the reasons that the Imus radio program remained one of the top billing programs on terrestrial radio. The sponsors knew that a more intelligent, affluent group of people were listening to him than to Opie and Anthony and/or Howard Stern.
Good Old Mel could settle this issue by publicly stating that he will never put commercials on the music channels. I'm sure one or more of his flunkies monitor this website. Let one of them tell him that many subscribers are concerned with this issue.
Tell us Mel. Tell us you'll never put commercials on the music channels if the merger gets approved.
Many thanks, Rumdumb, but I didn't know that listening to O & A made me dumb and poor.
Point well taken, Captain Sludge, point well taken. There are many exceptions to the general rule. I once heard Sean Hannity say that many of the people who listen to him also listen to Opie and Anthony, and I would guess that many of the people who listen to Sean Hannity are both intelligent and affluent. I still think the general rule applies, however.
I enjoy internet radio more then satellite radio. Live365 is excellent. It's actual people that enjoy the music playing it, not corporate bullshit program directors. I'm glad to know they are going to renegotiate internet radio royalty rates.