Sound Exchange Lower Royalty Rates for Small Webcasters
Posted May 22, 2007 — in Music News
Good news for Internet Radio and webcasters…………..
SoundExchange has offered a deal to small webcasters to lower the royalty rates set by the Copyright Royalty Board’s decision in March
Small webcasters would pay royalties equal to 10% of all gross revenue up to $250,000, and 12% for all gross revenue above that amount. But only those webcasters that generate less than a specified amount of revenue and less than a certain amount of usage will be eligible for this lower rate.
“The net result of this proposal is that small webcasters would be guaranteed no increase in royalty payments for 13 years, from 1998-2010,” says Michael Huppe, general counsel for SoundExchange.
Great news! Finally a rate they can live with. The previous rate which was more than most small webcasters brought in, would have wiped out an entire industry. It also would have killed any chance for indie bands to be heard since terrestrial radio never gives them a chance.
Comment by Brett — May 22, 2007 @ 3:37 pm