 RAIN 3/5: MarketWatch: Music industry "biting the hand that feeds it" ·Mar 5, 12:18 PM In a column today about the ongoing judicial appeal of the 2006-10 CRB royalty decision, San Francisco-based MarketWatch columnist “Over the last two years,” she notes, “record companies have tried to squeeze excessive royalties from Internet-radio stations — the very stations that can help fuel future digital-music sales — and it’s endangering some Web-based radio firms.” Poletti argues that the exposure and sales Internet radio affords and generates are benefits, not challenges to the embattled industry. Most who are close to negotiations seem to want to stay mum about the situation; Poletti says reps of Pandora and SoundExchange didn’t want to talk to her.
Closer to the action is Jon Potter, head of DiMA (Digital Media Association, which represents large company webcasters). He says the record industry isn’t even actually negotiating. “We were presented with a take-it-or-leave-it offer from SoundExchange. It was unacceptable.” Poletti, a senior columnist for MarketWatch, concludes, “I hope the appellate court is more sympathetic to the young Webcasting firms than the CRB. Read the entire MarketWatch story here. KATZ ONLINE SALES NETWORK TOPS 4 MILLION MONTHLY LISTENERSThe Katz Online Network is now selling streaming ads for Greater Media, Beasley Broadcast, ICBC Broadcast, Lincoln Financial Media, Service Broadcasting, Millennium Radio and The Content Factory’s “Dan Patrick Show,” giving the network an audience of more than 4 million listeners a month and 52 million “listener sessions.”
Katz Media Group and Clear Channel Radio launched the Katz Online Network in mid-2008. According to Katz, Katz 360 Digital salespeople and Katz Media AEs both sell the network. Our own AccuRadio is in the network. The Katz press release is here. NAB SUES FCC OVER WHITE SPACEThe NAB has filed suit against the FCC over the plan to allow the unlicensed use of unused spectrum, or “white space,” for wireless broadband (RAIN coverage here). The NAB claims devices using the spectrum would interfere with TV signals, and its suit calls the FCC’s decision on the matter “arbitrary, capricious, and otherwise not in accordance with law.” The Wireless Innovation Alliance, which supports the FCC determination, said, “[Broadcasters’] policy has been to stifle innovation at all costs and ask questions later… [this] is just another in a long list of ill advised and futile delay tactics.” ArsTechnica reports here.JANGO CEO TELLS WIRED WHY “PAYOLA” NET RADIO IS GOOD FOR ARTISTS AND LISTENERSWired’s Eliot Van Buskirk asked Jango CEO Dan Kaufman about the morality and potential for listener “distaste” for his company’s new “payola-driven” Net radio service (reported yesterday here in RAIN).Kaufman, in his reply, said, “This is great for listeners… It would be impossible for us to sift through the five million emerging artists out there and make appropriate recommendations. With Airplay, emerging artists — the ones that are serious enough about their music to pay $30 for exposure — get to pick the listeners most likely to like them based on their musical taste… If it weren’t for Airplay, there is no way these emerging artists and these new fans would have connected.” Read Van Buskirk’s blog entry here. share: del.icio.us.  Reddit  Digg  Yahoo  Wink  Windows  Google  Newsvine 
CommentCommenting is closed for this article.  Other stories RAIN has upgraded (and moved)! RAIN 9/13: RAIN Summit Chicago takes place today! RAIN 9/12: First Summit in RAIN's hometown takes place tomorrow RAIN 9/9: Summer holidays, "doldrums" impact July Webcast Metrics, but audience up over last year RAIN 9/8: Clear Channel launches new customizable iHeartRadio beta; RAIN goes hands-on RAIN 9/7: Meet more speakers you'll hear at RAIN Summit Chicago in less than a week RAIN 9/6: Clear Channel taps The Echo Nest to take on Pandora RAIN 9/2: RAIN reviews Spotify's radio-like product Artist Radio RAIN 9/1: UK online radio aggregator Radioplayer campaigns b'dcasters to create "all radio" ratings RAIN 8/31: Execs from Merlin, Triton Digital, jacAPPS and more to appear at RAIN Summit Chicago |
Therese Poletti writes, “The dysfunctional music industry suffers from a classic case of biting the hand that feeds it.
But Michael Spiegelman, head of Yahoo Music, is somewhat more removed, as his company recently turned over its webcasting business to 
But the music industry never should have let their negotiations derail this badly. Once again, the industry seems to be using artists as a cover for incessant greed. Instead, they should encourage as much legal digital music as possible.”
Jon Potter’s report of the recent exchange between DiMA and SoundExchange is not particularly surprising, but it pinpoints the exact problem with the currently established “willing buyer/willing seller” concept: There are no willing buyers, only victims of an organization beholden an avaricious cartel, empowered by a misconceived law to commit extortion.
— Art Marriott · Mar 5, 02:00 PM · #