Why Does The RIAA Hate Webcasters? Webcasters Don't Play Very Much RIAA Music
from the nothing-like-a-little-competitive-pressure,-huh? dept
Back in March, when the word came out that the new royalty rates for webcasting were much higher than in the past, we were confused. After all, webcasting helps promote music -- so why would the RIAA (and its SoundExchange spinoff) want to set rates so high that it would kill off this promotional channel? The answer isn't that hard to figure out. Traditional radio, of course, is dominated by a few similarly formated stations that all play RIAA-backed music. 87% of the music you hear on the radio is from an RIAA-member record label. However, when it comes to music on webcasts, the story is quite different. Jon Healy, at the LA Times, points out that only 44% of music on webcasts are from RIAA labels. This, at least, based on the findings of Live365, one of the larger webcasting services out there. So, with more than half the songs coming from non-RIAA labels, no wonder they're less interested in keeping webcasts alive. And, of course, the situation really is a win-win for the RIAA (in the short-term). It either kills off those webcasters who don't contribute to the homogenization of music, or it forces them to pay large sums even if they only play non-RIAA music. Of course, this is a strategy guaranteed to backfire in the long run, as it simply pisses off even more music fans who will simply look elsewhere for music.Thank you for reading this Techdirt post. With so many things competing for everyone’s attention these days, we really appreciate you giving us your time. We work hard every day to put quality content out there for our community.
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Filed Under: music, radio, riaa, webcasting
Companies: riaa
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I don't get it...
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Re: I don't get it...
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Arrrrrr!
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The RIAA is DOOMED to Extinction
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Re: The RIAA is DOOMED to Extinction
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Go ahead, shoot off your foot.
content free and many great indie artists making
a fair profit from their work. Which they rarely
received from the RIAA thugs.
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Negotiate directly with the labels.
Shane Chambers
General Manager
Big Blue Swing.com
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The RIAA is irrelevant.
Fear the NAB
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They hate everyone
They are everything that is bad about capitalism and none of what is good.
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Re: They hate everyone
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head on over to the EFF ...
IANAL - but, it seems that if I am an indy - not associated with any RIAA company or Soundexchange - that I *should* be able to play/webcast music that I have created (or that I have legally contracted from other indy and/or non-affiliated bands, producers, etc.) without having to pay soundexchange or any other riaa front one nickel. anything other than that would seem to be tortious interference with my right to enter into legal contract with whomever I please.
any lawyers out there who can put this in perspective ?
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Re: head on over to the EFF ...
A couple hundred years ago there was a big stink over taxation without representation. Anybody interested in a tea party over at the NAB, RIAA & MPAA buildings?
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Re: Re: head on over to the EFF ...
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Re: head on over to the EFF ...
Again, not if you can buy laws that say otherwise.
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declare independence and start a revolution
I think there is going to be a movement like a poster above mentioned. A branding campaign for Internet Radio stations: 100% RIAA free and proud!
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RIAA has to have control of the recording industry in order to perpetuate its formula. Rap and what passes for music at the RIAA are easy to mass produce; no innovation required (in fact innovation just muddies the water). Their problem is people outside their system that keep innovating and sometimes making a quality product that becomes popular. The RIAA requires control in order to make their spreadsheet-governed model work.
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How is this not racketeering?
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Re:
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Re: Re:
What you appear to be saying is that it's too much trouble for the RIAA to determine who is playing RIAA music and who isn't, so it's OK to just charge everyone. The problem with this logic is that the law is not set up to protect a given business model, but the consumer. You say that "the industry would grind to a halt" if the RIAA couldn't indiscriminately charge their webcast fees. Yes...and? Given the current state of "the industry", I think there's a major portion of the world population who wouldn't mind this "catastrophe" if it meant breaking the control the RIAA has on the marketplace of music.
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Remember people: You must let us know that your joking or people will take it seriously.
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Re: Re: Re: Re:
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RIAA pressuring Canada Hair Salons?
http://www.theglobeandmail.com/servlet/story/RTGAM.20070720.whair0720/BNStory/National/
"The minimum fee is about $95 for salons up to 825 square feet."
Perhaps they will lobby for royalties if a song is played at a wedding or a private party with more than 5 people present.
Maybe we will all be charged a fee on our income tax, and will need to prove our innocents to be exempt.
When will it end?
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First part of
Perhaps I was wrong, as there appears to be some misunderstanding of what and who the SoundExchange is.
First off, the RIAA is NOT a "pawn of the NAB." Up till recently, the NAB, and the RIAA have had a very close relationship (cousins sharing the same bed). However, there seems to be a little bit of a family feud going on recently. Presumably this was instigated when SoundExchange proclaimed that members of the NAB were "stealing from the artists," by not paying them royalties. These decelerations have led to the proposed performance royalty changes currently in congressional hearings.
The NAB, seeing the winds of change, has recently thrown it's full lobbing power behind the Internet Radio Equality Act. I can only presume that they figure they'll loose their royalty free status sometime in the near future, and want to limit the damages.
SoundExchange might as well be called RIAA, in my opinion. "SoundExchange was created in 2000 as an unincorporated division of the RIAA. In September 2003, SoundExchange was spun off as an independent organization."[wikipedia]
SoundExchange doesn't think they can "tax all music." The Library of Congress / Copyright Office declared they can collect royalties on all performed music. If you're going to place blame, place it in the right people. "Beginning on January 1, 2003, SoundExchange became the only collective designated by the Copyright Office to distribute statutory royalties to copyright owners and performers entitled under 17 U.S.C. 5 114(g)(2)." [wikipedia]
Not all performances require payment of royalties to SoundExchange. Statutory licensing provides for direct contractual agreements between the copyright holder, and licensee. For example, if a station decides to only play non-RIAA music, it has two licensing options. First, the station can contact every copyright holder in their library, and cut a deal direct. In many cases, particularly with small non-represented artists, this is often limited to "publicity for performance." Royalties for these independently contracted songs do not have to be paid to SoundExchange.
The second method is the station can purchase a "statutory license" from SoundExchange. The statutory license basically provides them with a legal CYA in case the copyright holder decides they don't want anyone playing their music. With the statutory license in hand, the most the copyright holder can do is demand that everyone stop using the performance with out a direct contract. (note the "everyone," as this right can not be selectively enforced) The copyright holder can only then sue if the "infringing entity" doesn't comply with the demand. They can not sue the station up till that point, because the station has a "get-out-of-lawsuit-free" statutory license.
Shane Chambers
General Mangager
Big Blue Swing.com
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webcasters
I'll be glad when they eventually disintegrate as an industry.
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EFF ??? NAB RIAA also to declair war
The Riaa have turned on the NAB wanting them to pay high rates !!!!
The NAB have stated they support ihe internet radio equality act.
The UK record companies have set even higher rates than the RIAA.
The whole thing is a total mess. the guy who said just keep streaming and stuff em is right like the the Beatles said REVOLUTION.
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RIAA: enjoy it while you can
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SoundExchange
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webcasters
yes i agree with you.web casters don't play RIAA artists.thanks for your sound.
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