MUSIC RADIO ON THE INTERNET FACES THORNY ROYALTY ISSUES
[SOURCE: New York Times, AUTHOR: Doreen Carvajal]
Internet radio sites are global by nature, streaming musical programs digitally
to users all over the world. But there is no one-stop global shopping for
royalty collections, which means that sites have had to negotiate separate
agreements with institutions from each territory or directly with music labels.
Global demand, though, respects no boundaries. The American Internet radio
audience climbed to 34.5 million in March, and the share of listeners in Europe
is even higher at 49.5 million, according to comScore, a marketing research
company that tracks Internet traffic. The expanding market has overwhelmed the
existing royalty structure. But the International Federation of the
Phonographic Industry in London has just completed an international agreement
to develop a more manageable way to stream across competing territories and
collect royalties.
http://www.nytimes.com/2007/05/14/technology/14radio.html
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