Small Webcasters Applaud Congress PDF Print E-mail
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Written by Lew Wirt   
Tuesday, 30 September 2008 23:00
NOTE: PRN is not a member of SmallWebcaster.org, but this article might be of interest to listeners and broadcasters concerned with the ongoing USA-based royalty battles. ~ Lew
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Source: SmallWebcaster.org
Congress yesterday passed the "Webcaster Settlement Act of 2008", legislation which authorizes SoundExchange to continue good-faith negotiations with Webcasters for the remainder of this year in an attempt to reach a compromise regarding the latest round of digital sound recording royalties.

If a settlement is ultimately reached, the bill will codify the rates and terms for royalties applicable to sound recording copyright owners and recording artists retroactive to 2005 -- regardless of their affiliation with SoundExchange -- effectively providing a "blanket license" for the use of sound recordings within non-interactive broadcast transmissions over the Internet.

This is an extraordinary victory for our industry, and it brings us one step closer to ensuring the ultimate survival of Internet radio. The timing of this legislation is particularly fortuitous as Small Webcaster Community Initiative and its allies have recently begun pressuring SoundExchange to adopt a newly proposed "aggregator license" concept.

Currently, tens of thousands of small Webcasters rely on umbrella licensing services such as Live365, SWCast Network, and LoudCity for the disbursement of applicable license fees on their behalf -- significantly streamlining the collection and reporting process that SoundExchange would otherwise have to endure. These and other signatories to the proposed agreement maintain that a sensible aggregator royalty rate is necessary to guarantee the viability of this business model.

It is our hope that the recording industry will pursue these negotiations with at least the same vigor and enthusiasm that led to the landmark 2002 settlement.

Randall Krause
Executive Director
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SMALL WEBCASTER COMMUNITY INITIATIVE
108 W Green St, Ste 110, Champaign, IL 61820
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