PACT WITH NON-COMMERCIAL WEBCASTERS

[elektro80]

from
http://mi2n.com/

[06-03-2003] Music Industry News Network


=> RECORDING INDUSTRY REACHES
PACT WITH NON-COMMERCIAL
WEBCASTERS; Discounted Rates Apply
To College Webcasters? Compensates Artists
And Labels, Avoids Arbitration

[Over the weekend, the recording industry reached an agreement on royalty rates and terms with non-commercial webcasters, such as college radio stations and educational Internet-only webcasting operations.  The agreement avoids another costly arbitration with the Copyright Office (a.k.a. a CARP) previously scheduled to begin June 30, 2003 and it discounts rates for student webcasts during the period 1998-2002 as well as for the 2003-04 period.  The agreement, reached under the terms of the Small Webcaster Settlement Act ("SWSA"), will be effective automatically when the U.S. Copyright Office publishes it.  Further details are attached.]

"Musicians applaud the agreement with non-commercial webcasters, which will meet the twin goals of fostering the innovative programming that noncommercial webcasters often develop around little-known recordings, while also contributing much-needed income to the starving artists whose recordings they play in their webcasts," said Thomas F. Lee, President of the American Federation of Musicians.

"I'm excited that this agreement allows non-commercial radio to offer dynamic and diverse music to listeners.  The partnership we created in this agreement, to facilitate the accurate reporting of performances on these services at an affordable cost, illustrates our commitment to compensating artists and copyright owners for their hard work," said John L. Simson, Executive Director, SoundExchange.

"On behalf of its members with educational institution webcasting operations, ACE is pleased to have reached this agreement with the recording industry.  This agreement gives educational institutions with webcasting operations a 'break.'  In very real terms, this break allows college webcasters with low-budget operations and small staffs to continue or begin streaming in a way that further student's media experiences on campus, for example in conjunction with mass media, communications and journalism studies, or as part of student activities," said Sheldon Steinbach, General Counsel of the American Council on Education.

"We are extremely pleased to have reached this agreement with non-commercial webcasters, including college webcasters.  We recognize that noncommercial webcasters operate under different conditions than for-profit webcasters.  The agreement includes an accommodation for noncommercial stations while avoiding a costly arbitration," said Steven Marks, Senior Vice President, Business and Legal Affairs, Recording Industry Association of America.

"The Intercollegiate Broadcasting System (IBS) is extremely pleased that the great music diversity which for IBS's 63 years of continuous service has been the hall mark of college radio will now thanks to the music industry's agreement leap worldwide on the Internet.  It is important for America's Sons and Daughters be able to learn the skills, techniques and technology of digital communication using the fun catalyst of music and radio/webcasting in the safe nurturing atmosphere of an educational environment," said Fritz Kass, Director and head of operations at the Intercollegiate Broadcasting System (IBS).

"CBI is pleased to have reached a settlement that addresses some of the uncertainties preventing college broadcasters from fully exploiting the educational opportunities webcasting technology offers.  While all settlements are compromises, this one is an important temporary stopgap, especially as it recognizes the need for the recording industry and noncommercial webcasters to work together to find a solution to recordkeeping and reporting challenges.  CBI will continue to work on solutions for college media," said Will Robedee, Vice Chairman of Collegiate Broadcasters, Inc.

"Non-commercial webcasters and college radio provide many less well-known artists who do not receive airplay on the limited commercial broadcast stations with an important opportunity to reach an audience.  We are very pleased to have reached an agreement with these webcasters and college radio stations which enables them to continue webcasting a great breadth of varied and diverse music while also ensuring that these artists receive important income," said Ann Chaitovitz, National Director of Sound Recordings, AFTRA.

"This agreement provides some relief for noncommercial radio stations that have been streaming their broadcasts over the Internet.  It will also allow some of these stations to operate in 2004 as we continue to pursue fair rates and terms for streaming," said Russell Hauth, Executive Director, National Religious Broadcasters Music License Committee.