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Pandora's days may be numbered

Copyright Royalty Board increases rates

3:37 pm on Mar 7, 2007 (gmt 0)

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From the Wall Street Journal,


"Web radio hit: The days of the niche internet radio station may be numbered. An increase in the rates that web broadcasters will be charged per song made recently by the Copyright Royalty Board, a federal agency, may put many web radio stations out of business, writes the Wall Street Journal. Tim Westergren, co-founder of Pandora.com, tells the paper, "With these rates, there's no Pandora." The new rates, retroactive to 2006, also erase an old rule that allowed smaller stations, including NPR affiliates, to pay a flat percentage of their overall revenue in royalty fees -- "because the smaller stations paid a percentage of revenue, they never faced a situation where their royalty bills exceeded their operating revenue, as many will now."

That would really SU**. Is there anything we can do?