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Labels and publishers reached an agreement

10 October 2001 8:11 by Petteri "dRD" Pyyny

RIAA, representing recording industry, and NMPA's (National Music Publishing Association) licensing arm Harry Fox Agency reached an agreement yesterday over online music royalties for publishers.

RIAA will pay the agency an advance of $1 million as part of the arrangement that allows its member companies, including all five major record labels, to use NMPA's songs in upcoming online services such as MusicNet and Pressplay. The actual licensing rates have yet to be determined, but RIAA will pay monthly advances totaling $750,000 per year until a rate is set.

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