The House of Representatives Committee on Small Business heard testimony today about the increased rates small Webcasters will soon be required to pay to play music online. No officials from college radio stations were present to give testimony, but other small Webcasters shared the stage with artists and other copyright owners to discuss the fairness of recent rate increases.
“Smaller independent Webcasters are struggling to get by in this very exciting but still very young industry,” said Bryan Miller, general manager of WOXY.com, an online radio station based in Cincinnati. He argued that because Webcasters give new artists more exposure to find new audiences, online radio stations should not have to pay such high rates to broadcast their music.
But Tom Silverman, chairman of Tommy Boy Records, an independent record company in New York, said that despite the exposure from Webcasters, record labels are having trouble making ends meet as well. “Even in this new world of jaw-dropping new technology, I have the old-fashioned challenges and responsibilities of any business owner — making a profit,” he said.
Highlights of the committee meeting can be found online here. —Dan Carnevale
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