Splitting Up the Spoils
Published August 14, 2002
And what IS a reasonable rate when as you point out, for Clear Channel and Viacom it's zero and for the publishers it's a small percentage of revenue?
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Rusty Hodge of SomaFM is even more pointed:
- >At the same time, I think it equally irresponsible for those with licenses,
>such as some webcasters, to continually whine over fees for compulsories
>other businesses would covet. When the rate was halved and the whining only
>increased I wondered if anything other than free - with artists
>uncompensated - could possibly satisfy those who seek to build businesses
>with other people's art.
Wow, you're quoting the RIAA! "to build businesses with other people's art."
The only people who would covet those terms are the ones doing interactive services - these fees don't apply to interactive services. This is plain old fashioned radio delivered over the internet. What businesses are coveting those terms? And those fees don't appear to apply to subscription services. (Maybe Whitney can chime in here).
Webcasting, that is non-interactive music services delivered over the internet, is NOT in the business of making money off other people's art. We are in the business of helping consumers FIND MUSIC they otherwise would never hear. Our value added is finding the music we think our listeners would like, and exposing them to it.
Webcasters provide FREE ADVERTISING to record companies, and the record companies don't even appreciate it. (Actually, that's not really true- many people in the record business DO appreciate it - the ones trying to get exposure for their records. Too bad the legal departments at the labels are working hard at keeping internet radio station FROM playing the music!)
The only difference between net radio and over the air radio is that there is more choice of programming over the net.
It also does a dis-service to the programmer who is creating these radio channels. Picking and mixing together the music is an art as well (although some large radio chains have made it more of a science than an art... a true DJ in the sense of the word is an artist).
>Public address, radio, television, cable, satellite, and now
>webcasting all benefit from blanket compulsories that actuarially
>replace actual control.
Except that the webcasting compulsories have too many complicated rules (songs per hour from box sets, same artists, etc. The tracking of this is complicated, and it interferes with the music programming).
>It's time we licensed digital networks at businesses and college campuses
>the same way we license restaurants, broadcasters and others for whom
>control is less efficient than actuarial fees. And it's time we stopped
>whining over having to pay when this happens.
But, over the air radio broadcasters don't have to pay the fees Webcasters do. And I'm pretty sure that restaurants and nightclubs aren't paying these fees either.
- Splitting Up the Spoils
- Published: August 14, 2002
- Type:
- Section: Culture
- Writer: Eric Olsen
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- Eric Olsen's personal site
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