(#radio, #capitolhill, #musicindustry) So, you actually thought there was going to be a resolution related to terrestrial radio recording royalties in the US?
Come young lad, witness these extreme loggerheads and rethink that opinion. It turns out that the National Association of Broadcasters (NAB) and the musicFirst Coalition can’t stop fighting, and any overtures are mere invitations for contentious debate.
Maybe an NAB “proposal” seemed ridiculous, though musicFirst is claiming that an agreement was actually ironed out in July. “This is demonstrably false,” quipped NAB president and CEO Gordon Smith. “If this were true, why would our two sides have continued with negotiations in August, September and October?”
But the saucier details are coming from other channels. Early Tuesday morning, we reported details of the compromise resolution from the NAB Board of Directors that would effectively concede royalties for a few prize nuggets. That includes the successful inclusion of FM radio chips in phones, and the abolishment of the Copyright Royalty Board (for terrestrial broadcasters, that is).
Yet, not everyone is so thrilled with that idea. Some station owners speaking with Digital Music News hate the concept of a performance royalty on recordings with a passion – and are loathe to give even an inch. That inch – in the form of a 0.25 percent revenue compromise to start – is not a door some of these terrestrials want to crack.
You know what they say about giving an inch…