Jay
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(Apr 29, 2007 - 2:06 AM)
Lowering the fee to 33 cents per listener per hour is a good idea.
"Webcasters would have the option of capping their royalty payments to 7.5% of their revenue from streaming, which would include advertising and subscription fees." - this is a bad idea, because this could lead to a high amount of Internet stations in existence, and due to the high competition, they all dont make much money and all opt for this 7.5% of revenue. It is much better for jobs in both the radio and the music industry (including musicians) to have a opt of 50% of revenue instead.
Non-commercial streamers should get much cheaper fees (eg 4% of revenue), but should have limits on the pay that employees can get per year (eg maybe a 70k cap) and that all profits must go back to the station and that the owners cant profit from their investment (except as a employee with the salary cap. These stations should also be banned from paying any music that is in the current top 100 singles chart, or that is on a current top 50 album. This will ensure that their is a variety of music options available to listeners.
Remember some royalties are good because they help to give musicians/vocalists money. More money for labels leads to bigger studio budgets and sonically better recordings. More money to labels leads to more releases each year and more variety of releases and more "risky" releases. Risky releases are often more innovative.