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Help Save Internet Radio
IMPORTANT MESSAGE TO LISTENERS OF THIS AND OTHER INTERNET RADIO STATIONS - PLEASE READ!!!!!!!!
Recently, the Copyright Royalty Board (CRB) issued the significantly higher new royalty rates for Internet radio for the 2006-2010 period. The ruling ignored webcasting community proposals and set out the SoundExchange proposed "per performance" rates (below) and a $500 minimum fee per channel per year. With around 10,000 stations playing over 250,000 artists each month, that would mean an additional $5 million per year for Live365 and our broadcasters.
Although there is no clear definition of what a "channel" is, the $500 minimum fee per channel threatens Live365's ability to help make the small webcasters' voice heard on the Internet, by effectively forcing Live365 to raise the minimum broadcasting fees to a level that would cause most small webcasters to discontinue their service thus silencing their stations. The CRB's determination imperils small and large webcasters alike and threatens listening experiences of millions of Internet radio listeners.
New per performance royalty rates established by the CRB
Year Royalty
Rate Increase Year Over Year Increase Over 1999-2005
1999-2005 $0.000762
2006 $0.0008 5% 5%
2007 $0.0011 38% 44%
2008 $0.0014 27% 84%
2009 $0.0018 29% 136%
2010 $0.0019 6% 149%
Live365 Pays Artists, Labels and Songwriters
Since its inception in 1999, Live365 has always paid both composer (to ASCAP, BMI and SESAC) and performance royalties (to SoundExchange). Over the last few years we've paid millions to SoundExchange alone on behalf of our broadcasters.
What We Are Doing
We have filed a petition for rehearing of the new rates to the CRB.
We have joined our fellow Digital Media Association (DiMA) members and the Internet radio industry at large to combat this unfair ruling made by the CRB.
We have started a campaign to raise awareness on Capitol Hill of the grave threat that the new CRB rates have posed to the Internet radio industry.
Immediate Listening Changes
Though we are appealing the new rates, the outcome of an appeal will take some time. In the meantime, the new rates go into effect immediately, therefore Live365 may have to pay higher rates back to March 5th. The risk of these new rates are forcing us to make some changes to business policy regarding listening from the Live365 website in an effort to minimize royalties and help keep down the cost of broadcasting.
These changes include:
VIP "Are you still there?" campaign: All VIPs will receive an "Are you still there?" prompt after 8 hours that they will then need to click or the broadcast will stop.
Non-VIP "Are you still there?" campaign: We'll also be setting different maximum listening session lengths and placing various reminders on some non-VIP listeners.
What You Can Do
Speak up!
Please join us in our petition for overturning the CRB determination and in our fight to save Internet radio. Bookmark this page for more on how you can participate in our campaign early next week.
Meanwhile, make your voice heard by the lawmakers on Capitol Hill! Call, write, e-mail, and/or visit your Representatives and Senators today and request that:
Congress void the retroactive $500 per channel minimum that threatens to drive Live365's small webcasters out of business.
Congress reinstate the Small Webcaster Settlement Act. The CRB declared that the 2002 SWSA would not be extended despite the Small Webcaster contracts SoundExchange offered on its website and signed with Small Webcasters for 2006 and 2007.
Stop the retroactive, ex post facto royalty payments for 2006 mandated by the CRB, until all appeals have been heard.
Create a level playing field by bringing the Internet radio per performance rates into parity with traditional and satellite radio. Unlike internet radio, traditional radio does NOT pay royalties to record labels or artists for songs performed over the air.
How to Contact Your Representatives and Senators
Broadcasters: please visit the Broadcaster Choice page for more station-specific info
Send a stamped letter, mailed by U.S. Mail or FedEx to your congressperson (find their mailing address). This type of hand-written message with your own personal story is treated with a LOT of value when received by your congressperson. Include your personal story... your name and location, the type of music you listen to, and how this new royalty will affect you. Be as specific as you possibly can.
Though it's not nearly as effective as a postmarked letter, you can also send an e-mail message to your Senators and Representatives. With your zipcode or address, you can use this quick, easy e-mail form to get directly to the congressperson for your location: http://www.congress.org (use the form letter found there or write your own story)
Related Links
Broadcasters: please visit the Broadcaster Choice page for more station-specific info
Express your opinions on the Live365 Listener Message Boards
Full written decision of the Copyright Royalty Board:
http://www.loc.gov/crb/proceedings/2005-1/rates-terms2005-1.pdf
Radio and Internet Newsletter: http://www.kurthanson.com/
Tell your friends about saving Internet radio and send them to http://www.live365.com/choice for complete info.
Support Your Favorite DJs
As a VIP subscriber to the Live365 service you help cover the royalty cost for the DJs you listen to, enabling them to continue broadcasting and playing your favorite tunes.
To become a VIP and contribute to your favorite broadcaster, go to their station page by clicking the station title in the player window. Then click the green "Subscribe Now" button in the upper right corner and buy VIP.
Or, if you prefer, you can support Live365 and all the stations by going directly to the VIP orderform and buying VIP.
artets Internet Radio
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