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Death of Web Radio?

New copyright law may force small, independent stations off the web.
The US Copyright Office is in the final stages of approving a fee structure for Internet radio stations that could easily shut down many of the Internet's most-listened-to & most loved stations.

The fees in question are royalties to the sound recording copyright owner - which have never been paid by broadcast radio, but are due in the case of digital transmissions under the terms of the DMCA (Digital Millennium Copyright Act). The stations in jeopardy are those run by individuals or small business, rather than large corporate interests.

Unfortunately, the CARP (Copyright Arbitration Royalty Proceeding) that evaluated this issue has come up with a set of recommendations that are tailored to a marketplace that never came to be: one dominated by large webcast operations generating huge profits derived from advertising revenue. Instead, in 2002 we find that those revenue projections were (in retrospect) irrationally exuberant, and most of the large webcast firms are out of business. Webcasting is dominated instead by stations like ours: with rapidly growing, passionately enthusiastic audiences but very little revenue, supported in great part out of the owners' pockets and through listener contributions.

For complete article & suggested response, go to:
www.kpig.com/
 
 

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