Internet Radio Royalties

Categories: News
  • On July 15, 2007, all Internet radio broadcasters will be required to pay a per-song-listened royalty fee, as opposed to the current percentage-of-earnings fee.
  • Fast Facts:

    1. Approx. 70 million Americans listen to internet radio.
    2. Terrestrial radio (AM and FM) is immune from the royalty increase.
    3. If enacted on July 15, all royalties will be due retroactive to the beginning of 2007.
    4. Many internet radio broadcasters claim they will be forced to close down if the new royalty rates go into effect.
    5. The Radio Equality Act is pending legislation that would set the internet royalty rate equivalent to that of satellite radio, 7.5% of revenue, not per-song-listened.

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