A few months ago, internet-radio stations were hit with a proposed royalty-rate hike, one that threatened to put many stations out of business; and now, it looks as though terrestrial broadcasters may soon be undergoing a financial fight of their own:
WASHINGTON — Some of the music industry’s most recognizable names are signing up for what likely will be a bruising legislative battle as they attempt to win a change in the law that would force broadcasters to pay them for airplay.
More than 80 artist ranging from Christina Aguilera to Mary Wilson and 11 industry organizations including the RIAA have scheduled an announcement for today of a new coalition that will fight for the change.
Terrestrial broadcasters traditionally have paid songwriter royalties to ASCAP, BMI and SESAC but have been exempt from performance royalties similar to those levied on digital broadcasts in recent years.
Most people in the music industry think that allowing broadcasters to escape paying a performance royalty is unfair. Broadcasters have long argued that the promotional value gained by playing music on the radio more than offsets any royalty that performers and record companies would receive.
More on this as it develops, but please, please let this press conference be jointly presented by Christina and Mary. Girlfriends know how to make complex legislative movements and rate-hike tables sing!
New bloc to fight for airplay pay [Hollywood Reporter]