Save Internet Radio
If the RIAA and SoundExchange get their way, independent webcasting / Internet radio will soon cease to exist.
Why? Earlier today, the Copyright Royalty Board, the group overseeing statutory licensing for US-based internet radio stations, announced the new royalty rates for streaming radio performance rights.
The board rejected the arguments made by webcasters and instead chose to adopt the proposal put forth by industry-backed SoundExchange, a royalty fee collection agency created by the RIAA.
The new rates are based on “performances” of songs. A “performance” is defined as one song being streamed to a single listener. In other words, a station with 1000 listeners is charged for 1000 performances of each song it broadcasts.
The rates per performance are as follows:
$0.0008 in 2006
$0.0011 in 2007
$0.0014 in 2008
$0.0018 in 2009
At first glance, those seem like fairly small numbers: eight ten-thousandths of a dollar, eleven ten-thousandths of a dollar, and so on. When you actually do the math, however, you see the truth revealed. The average radio station plays 16 songs in an hour.
Under this system, that would be equivalent to 16 performances.
0.0011 x 16 = 0.0176
Still a fairly small number - under two cents.
But now assume this station has 1000 listeners. That means that, in one hour, the station would be billed for 16,000 performances.0.0011 x 16000 = 17.60 That’s $17.60 an hour.
Now we’re starting to see how expensive this truly is. Multiply that by 24 hours a day.
17.60 * 24 = $422.40 a day.
But there’s 365 days in a year.
422.40 * 365 = 154176
$154,176 for the year in performance royalties alone for a station with 1000 listeners. And that’s just for 2007: it gets even worse.In 2008, the cost rises to $193,536 for the year. In 2009, it goes up to $248,832.
Even for a much smaller station, the royalties owed are huge.
Simple solution, put the server internationally, host it outside of the domain of the RIAA problem solved.
When are people going to realise the world and the Internet truly is global.
You cant just 'manhandle' content the way you used to be able to.
Whether it is music, porn, or corporate information, if it can be served out of a computer there is somewhere you can host it outside of the reaches of someone that wants to stifle you.
You are now in control.
(oh btw read the rest of the article and find out that these 'costs' don't apply to actual radio (terrestrial radio) .... oh yeh now tell me that they aren't trying to stack the deck).
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