Friday, May 16, 2008

SOUND EXCHANGE AND LARGE BROADCASTERS STILL AT ODDS

The ever-acrimonious negotiation process surrounding streaming licensing is showing little signs of improvement. Just recently, larger broadcasters bristled against a revised offer from SoundExchange, the organization that oversees internet-based performance royalty collections on recordings.

Jonathan Potter, executive director of DiMA, could not outline specifics of the offer. But Potter was quick to point to an unfair proposal, one that compares unfavorably to equivalent rates for cable and satellite radio providers. "The SoundExchange offer would require webcasters to pay many multiples of what cable and satellite radio currently pay, an outcome that many webcasters view as simply unacceptable," Potter explained.

According to DiMA, the offer comes ahead of a proposal by Senator Sam Brownback (D-KS) that would seek greater parity between the various delivery sources.

SOURCE