Yesterday the Copyright Royalty Board announced its decision that Internet Radio stations must now pay royalties for each song it plays per person that listens to it. For instance, if KEXP plays Phoenix's "Lost & Found" once and there are 450 people listening, then WOXY must pay the royalty fee times 450. This is a huge change from the past in which royalties were based on a percentage of the station's income.
According to the Broadcast Law Blog, the new rates are as follows:
2006 - $.0008 per performance
2007 - $.0011 per performance
2008 - $.0014 per performance
2009 - $.0018 per performance
2010 - $.0019 per performance
I think I'm definitely going to become a member of KCRW, WOXY, and KEXP. I'm guessing these organizations will need all the help they can get. What a bullshit ruling.
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