[AF] a different approach to CRB

Reader reader
Fri May 11 14:01:29 CDT 2007


 From RBR:

The Cape Cod Times reports WMVY-FM Martha's Vineyard, MA may have 
found a way to lower the ridiculous royalty fees recently imposed by 
the Copyright Royalty Board (CRB) - make the online stream a 
non-profit entity. Barbara Dacey, director of worldwide programming 
for mvyradio.com, told the paper when growing costs and federally 
imposed royalty fees recently threatened to cripple mvyradio.com's 
programming... "the Internet radio station will now operate on a 
nonprofit, public radio business model, funding its operations with 
listener donations and corporate underwriting, rather than ad sales." 
Under the new business model, the station's adult alternative music 
streams will still be free for listeners. WMVY-FM will continue to 
sell ads. This move marks the first time that a terrestrial station 
and its online counterpart have split into divergent for-profit and 
nonprofit business models, the story said.

RBR observation: Hopefully the Internet Radio Equality Act (H.R. 
2060), originally sponsored by Reps. Jay Inslee (D-WA) and Donald 
Manzullo (R-IL) will become law and put an end to this nonsense and 
nix the CRB decision, tossing out the rates for all online 
broadcasters regardless of their size. However, if not, the WMVY 
example may be the only way for stations to continue their Internet 
presence. Unfortunately, though, it will decimate the ad sales side 
of the business and cripple this form of commerce - as well put a 
hurt on NPR and public radio stations who rely on donations for their 
livelihoods. The CRB, since they have no clue about the industry and 
what their autocratic decision will do to it, will effectively 
destroy online radio as we know it today. Wait, maybe that's their goal?



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