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Apr17
Internet Radio Companies Lose Appeal Over Royalty Increases

The new rules that caused an uproar among small Internet radio companies were upheld by the U.S. Copyright Royalty Board, made up of three judges.

The "Board" said after a review of the filings by small commercial Webcasters, National Public Radio, and others, that they hadn't "made a sufficient showing of new evidence or clear error or manifest injustice that would warrant rehearing."

With the release of the new rules on March 1, it initiated a huge response across the Internet because of the proposed royalty rate hikes which would be around a 30 percent per year increase. They will be .08 cents per son per listener, and will increase to .19 cents per song by 2010. That doesn't include the $500 royalty payment required in the ruling as well.

Online%20Radio%20Stations%20Lose%20Appeal.jpgChanges are slated for May 15, which the board also refused to postpone.

Now the board will have to publish the decision they made on the Federal Register which after that, the participants will have a 30 day period to file for a notice of appeal with a Washington federal court.


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