The Public Reads About Performance Fees
August 11, 2010 at 4:28 AM (PT)
It's always interesting when a story about our business spills into the mainstream press -- and that's exactly what's happened with the latest on a Performance Royalty Fee for radio. DAVID HINKLEY in THE NEW YORK DAILY NEWS writes, "After insisting for some eight decades that artists were fairly compensated for radio play by the promotional value of that airtime, the radio industry may be on the verge of an about-face."
As ALL ACCESS reported last week (NET NEWS 8/6), the NAB Radio Board met in WASHINGTON, D.C. for an educational update on the status of ongoing discussions between broadcast industry representatives and representatives of MUSICFIRST. A "PROPOSED Terms Under Consideration in Performance Tax Discussion," was released following the meeting."
That proposal was the first time broadcasters had put in writing any interest in settling with MUSICFIRST over the proposed fee.
Continuing about the legislation, HINKLEY writes, "In the last year, pressure has been building in the financially pinched music industry to change that arrangement. Now radio's major trade group, the NATIONAL ASSOCIATION OF BROADCASTERS (NAB), is concerned that Congress could pass legislation allowing the government's Copyright Royalty Board (CRB) to set performance royalty rates. But now the NAB seems open to a preemptive deal that would set rates low enough so radio could live with them and, equally important, remove the CRB - the wild card - from the picture."
Check out the full article here.