The Federal Court believes that the a radio program transmitted from a “terrestrial transmitter is a different broadcasting service from the delivery of the same radio program using the internet.”
This is typical of the record labels still keeping one foot in the past and not moving with the present. It is clear that the recording business survives by sales of recorded music. Since recorded music revenues are not what they used to be compared to the glory years of the 90’s when everybody was re-purchasing their scratched LP’s or chewed up tapes onto CD, the labels have tried every lobbying/bribery trick in the book to get legislation passed that gives them back the control that the Internet has taken away.
Could this the labels secretly trying to kill off radio simulcasting so that the streaming services are all that remain, like Spotify, which the labels have a stake in. As the Australian Copyright Council said, the decision “leaves open the possibility for new licences to be negotiated for content that is streamed by way of radio simulcast on the Internet.”
Based on the labels past experience, the labels will insist on a super high licence fees as they hate the current statutory cap on commercial radio who need to pay just one percent of their gross income. Therefore i am sure the radio’s wont pay this new excessive rate and hence the labels will kill this promotional outlet.
“This is an important win for artists and labels whose music is used widely on the internet to help drive profits for Australia’s radio industry,” said PPCA CEO, Dan Rosen.
I wonder how many artists where signed up for this action. I wonder how much of the new fees would go back to artists as the labels are renowned for their creative accounting practices. And what artists are we talking about here, as most independent artists don’t get played on mainstream radio.
To me Radio should be the last thing up and coming artists should strive for. PSY was broken by YouTube without any mainstream publicity. He dropped Gangnam Style without publicity and the online world built it into the monster it became. The mainstream channels just picked up the crumbs.