![]() RAIN 5/15: Radio royalty amendment would change standard for webcast rate setting AMENDED PERFORMANCE RIGHTS ACT APPLIES 801(b)(1) ACROSS ALL FORMS OF RADIORAIN has learned that, contrary to our analysis yesterday, the “Manager’s Amendment” to the Performance Rights Act![]() The House Judiciary Committee on Wednesday voted to approve the Performance Rights Act of 2009, but not before the Manager’s Amendment was added (see RAIN here). The main objective of the PRA is to allow performers and copyright owners of sound recordings to earn royalties from music played by broadcasters. But one facet of the amendment is a step towards “platform parity” in that it establishes the modified 801(b)(1) standard for sound recording copyright royalty setting for terrestrial, satellite, cable, and Internet radio. Satellite and cable radio royalties are already set by arbitrators using 801(b)(1), a set of criteria which requires arbitrators to consider the fairness of their decision to both the copyright owner and copyright user. Internet radio royalty rates, on the other hand, under the DMCA, are currently determined with a standard called “willing buyer, willing seller.” With “willing buyer, willing seller,” instead of considering real world conditions and ramifications of their decisions, arbitrators are limited to consider only what they believe a hypothetical open market would arrive at. Webcasters have long protested as unfair the fact that only their platform uses the “willing buyer, willing seller” standard, which many believe typically leads to royalty determinations more favorable to copyright owners. As mentioned above (and reported yesterday), the “Manger’s Amendment” uses an altered version of 801(b)(1); one which removes the criterion that requires arbitrators to consider the possible “disruptive impact” their decision would have on involved industries. While some seem to be downplaying the significance of this change — at least for the purposes of Internet radio — industry attorney David Oxenford explains why he considers this point critical in his Broadcast Law Blog here. For more background on the significance of the 801(b)(1) standard (and especially the “industry disruption” point), see Oxenford here. For more on why 801(b)(1) is preferable to “willing buyer, willing seller,” see Kurt Hanson’s essay “Copyright Law and the CRB: What Went Wrong?” here. FORD UPDATES SYNC SERVICE, PANDORA NET RADIO ON THE WAYOn Monday Ford will update their Sync voice-activated service, which will soon enable webcasters like Pandora to deliver Internet radio to cars. Ford expects to update the service in 9 to 12 months to possibly deliver Pandora streams to a car’s audio system. The upcoming May 18 update delivers information about traffic, directions, stocks and weather through voice-activated commands, all using the voice line of a Bluetooth-connected mobile device (data usage charges are avoided this way). For more on Sync’s updates, check out Twice’s coverage here.KENNEDY: “HERO DEVICES,” CAR DASHBOARDS IN PANDORA’S FUTUREPandora is on the look-out for “hero devices” in the mobile world, said CEO Joe Kennedy in an interview at the EconnSM conference in![]() MiFi DEVICE FROM VERIZON, SPRINT CREATES MOBILE WI-FI HOTSPOTS![]() share: del.icio.us. ![]() ![]() ![]() ![]() ![]() ![]() ![]() ![]() CommentCommenting is closed for this article. ![]() 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 |



