Internet radio broadcasters were dealt a setback Monday when a panel of copyright judges threw out requests to reconsider a ruling that hiked the royalties they must pay to record companies and artists. A broad group of public and private broadcasters, including radio stations, small startup companies, National Public Radio and major online sites like Yahoo Inc. and Time Warner Inc.'s AOL, had objected to the new royalties set March 2, saying they would force a drastic cutback in services that are now enjoyed by some 50 million people. In the latest ruling, the Copyright Royalty Board judges denied all motions for rehearing and also declined to postpone a May 15 deadline by which the new royalties will have to be collected.
This last week, I discussed the current state of Internet radio with a representative from Clear Channel. He told me that they were against this, yet they have no desire to use any of their power to influence the situation. Conviction is either not a word in their vocabulary, or there are other interests in play. Internet radio has been dead for awhile. This nail is being hammered long after the coffin is secure. We need to ask why Internet radio had to die, as it's death was clearly consensual. The economics here are completely screwed. We are at the point where the only avenues available are those of public policy. Whenever I discuss these issues with players in the music industry -- and I do, regularly -- they don't understand this. There is a great fear and apprehension among those in the music business to approach problems from the angle of public policy. I'm starting to seriously wonder why... Internet radio. Blanket licensing for digital music downloads. Statutory licensing for sampling. Et cetera -- Endless list of issues... Was pushing an audio stream over a network pipe too extreme for incumbent interests? I know what answer you'd get if you ask Voynage. This just pisses me off... I clearly see the solution given by the incumbent media powers: "Shut it off until we figure it out." If this approach had merit, sales would not be down 13% this year. Update: SoundScan turned the industry on its tail in the 90's because it had a picture that was more complete than that of anyone else. That is not the case today. The complete picture is currently more absent than it has ever been. Internet radio broadcasters dealt setback == On to Public Policy | 
