As many of you know, the Copyright Royalty Board is stupidly trying to kill Internet radio by hiking royalty rates to an astronomical level. My Mohawk Radio station and show on Live365 are currently on hiatus because of this. Under the newly-proposed rates, I would have to pay at least $185,000 for 2007 royalties, and some Internet stations would have to pay over $500,000. The latest proposal would TRIPLE these rates within two years.
The CRB says these rates are necessary in order for the musicians to receive "fair use" royalties, but in fact, most of the money the CRB/Sound Exchange now collects goes into the pockets of Sound Exchange and very little reaches the artists.
What this means, of course, is that since almost none of the Internet broadcasters could afford the new rates, we will have to close down. This means the artists would LOSE tons of money, so how idiotic is this?
There is currently a new bill, HR2060, which would set very fair rates for the Internet and allow us to continue to entertain you. Let's hope this bill passes so I can get back on the air and start my 39th year on radio.
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