Internet Radio Execution Scheduled for July 16, 2007

Disaster looms! On Wednesday, July 11, 2007 a federal court denied a plea to delay the massive increase in rates that web casters must pay the record labels. This means that, absent immediate Congressional action, the new ruinous royalty rates will be going into effect on Monday July 16, threatening the future of all Internet radio and silencing many stations that have loyal followers.

This is a very dire situation if you enjoy listening to Internet radio. Several articles have been posted to Associated Content that have focused attention on the potential demise of Internet radio. The links below provide information about the Internet Radio Equality Act. These articles provide a solid background on the legislation that is proposed. Sadly, if the bill is not acted upon, it appears as if Internet radio will die. The only way to stave off this death is with the immediate grass-roots support. Pressure must be brought to bear on Congress by listeners like you and I. Unfortunately, it is likely that big business will once again show that they are all-powerful and control all the entries to the entertainment industry.

One must understand the web casters do pay royalties for the music they play. However, web casters are engaged in small business and do not generate the substantial revenue that major radio stations or even satellite radio realize. The effect of this court decision and the massive retroactive rate increase is a plus for big business and a loss for the listeners of Internet radio and the web casters that provide the service.

It is ironic that many musicians will also suffer as Internet radio offers the opportunity for the music of obscure musicians to have an opportunity for wide exposure and perhaps the chance for recognition outside the bureaucratic world of the recording industry. A portal to success for the small band, musician or singer will be slammed shut.