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IFPI announces a "global" webcasting license

Written by Petteri Pyyny (Google+) @ 11 Nov 2003 15:39 User comments (4)

International Federation of the Phonographic Industry, which represents most of the world's local music industry lobby groups and collection agencies, including RIAA, announced today that they have developed a so-called "global" webcasting license for Net radio stations.
Previously, at least in theory, if a Net radio station wanted to broadcast to multiple countries, it had to obtain licensing agreement from each individual country. Not that anyone actually did that -- you can listen American or European webcasts from anywhere and normally the webcasters simply ignore the licenses outside their own region. But the very few big players who have wanted to actually physically operate in all of those countries as well, had the legal situation somewhat painful as each country used to have (and still has) their own licensing requirements, etc.

The new initiative for global, one-stop licensing agreement through IFPI is expected to be approved by more than 30 countries' local collection and licensing agencies, including most of the European and American countries agencies.

But there's still a catch: the fee structure wont change and each webcaster would still have to pay licensing fees for the music to each individual country they wish to stream to (again, in theory -- in real life, to all countries where they have an actual physical presence), based on that country's licensing body's fee structure.

Webcasters have long argued that excessive licensing makes running Net radio uncompetitive against the traditional radio stations that in some countries, such as United States, don't pay anything at all to record labels.

Source: Reuters

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4 user comments

112.11.2003 4:51

Another way for the Corporate Music biggies to make a buck yet again, they don't care who pays, they want all of us to pay for it and keep paying...


Starcruiser

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212.11.2003 6:45

QUOTE>"Webcasters have long argued that excessive licensing makes running Net radio uncompetitive against the traditional radio stations that in some countries, such as United States, don't pay anything at all to record labels." I thought US radio stations made payments to BMI and/or ASCAP for artist and performance royalties? Anybody know the answer on that one?


We mustn't lower ourselves to the level of those we loathe, lest we become loathsome ourselves.

312.11.2003 13:14

GrayArea: They pay only for composers and songwriters as far as I know, not for artists or labels.


Petteri Pyyny (pyyny@twitter)
Webmaster
http://AfterDawn.com/

414.12.2003 9:08

ASCAP and BMI traditionally were the only royalty collection agencies in the U.S., but then the record companies wanted a cut of the action. Thanks to lobbying by the RIAA, the copyright office decided to enact legislation to institute sound recording performance licencing in addition to ASCAP and BMI. This would allow record companies to take advantage of the growing popularity of the Internet to make a hefty profit (but reading closer, it appears more like it's a retribution for the losses they claim to have incurred due to Internet filesharing). We will just forget about the fact, therefore, that the Internet is the only medium in which public performance of music requires sound recording licensing (and is slapped with rates that are highly unrealistic, esp. for hobbiests.) --Randall


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