BY PAUL MALONEY
The Internet Radio Equality Act (IREA) was introduced in both chambers of Congress last year to bring webcasting royalties to a level closer to those paid by satellite and cable radio. And while attracting an impressive amount of support, it has yet to become the law webcasters feel is necessary to save their industry.

Now, grassroots webcaster group SaveNetRadio is calling Sen. Sam Brownback’s (R-KS and IREA sponsor) move to attach the IREA as an amendment to another copyright bill [see the May 15th RAIN coverage here] “a reminder to other Members that Internet radio and its tens of millions of supporters are not going away quietly.”

Brownback offered the IREA as an amendment to the Orphan Works Act of 2008 (S. 2913) during a scheduled mark-up of the intellectual property legislation yesterday. The Internet Radio Equality Act would set the rate for all digital radio – cable, satellite and Internet radio – at 7.5% of revenue.

While SoundExchange proposed that cable radio services pay royalties between 7.25% and 7.5%, and the CRB reduced the royalty rate for satellite radio to 6% of broadcaster revenue (increased incrementally to 8% over the next five years), copyright owners remain insistent that webcasters pay royalties that can amount to 300-1,200% of revenue.

“This is unacceptable and hardly the good-faith negotiations the House Commerce committee directed SoundExchange to participate in more than nine months ago,” said SaveNetRadio spokesman Jake Ward.

Comment

1. I am seeking information regarding a current agreement between the music industry and internet radio with regards all and current charges for playing musicon interent radio in the US and Canada.

   Can anyone send me a short explanation?

   Thanks in advance.

   David

   — David Marsden · Jun 9, 02:24 PM · #

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