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Web radio going silent
Top Headlines "Webcasters," as Internet radio broadcasters are known, are going silent today to protest a decision by a government royalties board that they say will put them out of business July 15. The federal Copyright Royalty Board voted earlier this year to increase the royalty rate Internet broadcasters pay to play music by almost 300 percent for the biggest Webcasters and up to 1,200 percent for small Webcasters, according to SaveNetRadio.org, a coalition formed to oppose the change. "If the rates stand as is, it would kill our business," said Justin Savage, who runs LoudCity, an Internet music company in Somerville that helps amateur broadcasters run their own stations. Internet radio has surged in popularity in recent years, as the variety of music on over-the-air radio grows smaller and smaller. Arbitron and Bridge Ratings estimate that 50 million to 70 million Americans tune in to Internet radio each month. Most Internet stations have relatively few listeners. Savage said that the audience on LoudMusic peaks at about 9,000 people in the afternoon. In some ways, he said, appealing to a niche market is the point. "What's great about Internet radio in general is that there's so much diversity," Savage said, pointing out that some cities no longer have a rock or country station broadcasting over the airwaves. "That's going to be lost." Today, however, listeners who tune in will hear nature sounds and public service announcements notifying them of the royalty change, rather than the usual musical offerings. Savage and others hope that today's "National Day of Silence," as it's being called, will convince more of their listeners to contact their congressmen and senators and ask them to support a bill, the Internet Radio Equality Act, pending in the U.S. House. "I'm very proud of the business we've built up over the past two years," Savage said. "It's kind of a sad situation to be in."
Post Your Comments Chris wrote on Jun 26, 2007 8:37 PM: " Webcasting is good for everyone. It allows listeners to choose the station that is desirable. Not all cities have stations for one to listen to. Corporations like Clear Channel hate to have webcasting since Clear Channel wants to restrict listeners to listen to local garbage. Internet radio allows one to experience best that radio has to offer. I bought CDs of artists that I heard on Internet Radio for I would have never heard of them on local radio. " anon wrote on Jun 26, 2007 4:13 PM: " anon,
That's not true. FM radio broadcasters don't even have to pay this particular royalty - only internet radio and satellite have to pay.
Internet radio would LOVE to play by the same rules! " Realist wrote on Jun 26, 2007 2:42 PM: " It is easier to track the users of web radio than broadcast radio. Therefore it should be easier to set rates. You know exactly how many computers were connected at a given time. Can you say that about radios? Does a top 40 station (if they still exist) pay less to play a song at midnight than morning drive? There are probably fewer listeners. With web stations you can track it. " Anon wrote on Jun 26, 2007 12:50 PM: " How sad that these webcasters don't want to "play" by the same rules as radio broadcasters. They're not special, and the music isn't free. That's what advertising pays for. " Anne wrote on Jun 26, 2007 10:19 AM: " I listen to Yahoo radio while I am working, because it helps me concentrate better. I LOVE Celtic music and can't get it anywhere else. I would SOOOO be upset if I could not listen anymore. As far as the royalties, I have purchased CD's of these artists because I have heard them on the free internet radio. How is that counter productive to the industry? Please, Senators Kennedy, Kerry, Rep. McGovern, vote to keep our free radio. It is one of the few pleasures in life that is still free. " or
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