nobby
November 8th, 2006, 12:52 AM
Bob, what's your take on this?
SoundExchange Proposes Fair Royalty Rates From Satellite Music Services For Artists And Record Labels
SoundExchange, the non-profit organization that collects and distributes royalties from various digital music services on behalf of artists and record labels, submitted its case to the Copyright Royalty Board ("CRB") charged with setting rates that XM & Sirius satellite music services will pay for their streaming of sound recordings during the next six-year license term, ending in 2012.
Recognizing that music forms the foundation for the two satellite services, SoundExchange's request for royalties beginning at 10 percent of revenues and gradually increasing over the six-year term is a reasonable rate based on the findings of several leading experts.
Today's submission is the beginning of a 12-18 month process which will result in a determination by the CRB of what it believes is a fair payment for the use of artists' and record labels' sound recordings. "The essence of satellite radio is music," said John Simson, Executive Director of SoundExchange. "Without music, XM and Sirius would not exist. We are asking simply that these companies recognize our substantial contribution to their business by paying a fair price to artists and record labels for their creativity and investment."
SoundExchange has included with its filing expert testimony from economists, technologists and survey experts. The testimony analyzes the value of the recordings using a number of factors including open market rates, the value of music to the satellite services' business model, rates paid by the satellite services for non-music content relative to value to subscribers, comparison with other digital music royalty rates, the value placed on sound recordings by customers, and survey data demonstrating that customers place music far above any other content when evaluating the value of satellite music services.
http://www.mi2n.com/press.php3?press_nb=94980
SoundExchange Proposes Fair Royalty Rates From Satellite Music Services For Artists And Record Labels
SoundExchange, the non-profit organization that collects and distributes royalties from various digital music services on behalf of artists and record labels, submitted its case to the Copyright Royalty Board ("CRB") charged with setting rates that XM & Sirius satellite music services will pay for their streaming of sound recordings during the next six-year license term, ending in 2012.
Recognizing that music forms the foundation for the two satellite services, SoundExchange's request for royalties beginning at 10 percent of revenues and gradually increasing over the six-year term is a reasonable rate based on the findings of several leading experts.
Today's submission is the beginning of a 12-18 month process which will result in a determination by the CRB of what it believes is a fair payment for the use of artists' and record labels' sound recordings. "The essence of satellite radio is music," said John Simson, Executive Director of SoundExchange. "Without music, XM and Sirius would not exist. We are asking simply that these companies recognize our substantial contribution to their business by paying a fair price to artists and record labels for their creativity and investment."
SoundExchange has included with its filing expert testimony from economists, technologists and survey experts. The testimony analyzes the value of the recordings using a number of factors including open market rates, the value of music to the satellite services' business model, rates paid by the satellite services for non-music content relative to value to subscribers, comparison with other digital music royalty rates, the value placed on sound recordings by customers, and survey data demonstrating that customers place music far above any other content when evaluating the value of satellite music services.
http://www.mi2n.com/press.php3?press_nb=94980