A couple of months ago, we talked about
the threat to Internet Radio posed by the then-recent decision of the Copyright Royalty Board to impose huge, retroactive, increases on royalties paid by internet-based broadcasters.
Under the new scheme (which some think is yet another attempt to ensure that all media outlets remain under the control of corporate America), a tiny net-based operation averaging 100 listeners would have to pay over $15,000 a year in royalties. Those of you running blogs with 100 regular readers -- do your AdSense checks produce the over $1,000 a month necessary to make such a payment? No, of course they don't. But if you were a net broadcaster, that's what you'd have to pay for 100 listeners.
The newly-imposed rates amount to a 300 to 1200-fold increase for net broadcasters -- and are several times higher than what Satellite radio stations pay.
There's
a bill pending in Congress to correct the situation. (A
like bill was also introduced in the Senate.) The "Internet Radio Equality Act" would reduce the royalties paid by net broadcasters to the same rates as those paid by Sirius and XM Radio. This is a bipartisan effort -- House co-sponsors include a couple of dozen Republicans and, on the Senate side, John Kerry and Sam Brownback are among the co-sponsors.
Of the over 125 Representative co-sponsoring the bill, five are from Pennsylvania: Robert Brady (D, PA-1), Chaka Fattah (D, PA-2), Patrick Murphy (D, PA-8), Bill Shuster (R, PA-9), and Allyson Schwartz (D, PA-13).
If you live in one of the other 14 districts, please contact your Representative today and ask them to co-sponsor HR-2060. The new rates are set to go in effect on July 15 -- so your immediate action would be appreciated by music fans, and independent artists, everywhere around the world.
More information on the bill, and contact information for PA Representatives, after the jump.