The age of small Internet Radio Stations is set to end on
Sunday, at least in the US, after a final bid to stop hike in
copyright fees failed.
The D.C. Circuit Court of Appeals has refused to stop an
increase in royalty and broadcasting fees which will come into play on
Sunday
At the demand of the recording industry, the Copyright
Royalty Board, which is part of the Library of Congress, decided in March
to almost triple royalty rates by 2010 and impose an annual $500 fee
per station or channel.
Already some smaller Web stations shut down in
anticipation of the higher fees. More say they will close as a result of the
court decision.
SoundExchange claims it is all about artists getting paid
fairly. However most of the artists will not get a penny from the
extra fees which are only for SoundExchange members.
Many independent
bands who depend on Internet radio for coverage are not
SoundExchange members and therefore will not get paid.