Transition Music Corporation | Sorting Out the Internet Radio Royalty System
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Sorting Out the Internet Radio Royalty System

Sorting Out the Internet Radio Royalty System

New legislation might finally fix the messy Internet radio royalty system.

By John Villasenor

Monday, Sept. 24, 2012

“If you are like most of the millions of people who listen to Sirius XM satellite radio or Internet radio services like Pandora or, you probably don’t give much thought to the underlying—and fundamentally flawed—framework that governs digital music broadcasting royalties. But you may want to perk your ears up, because under theInternet Radio Fairness Act of 2012, a bill introduced [PDF] in the House last week by Reps. Jason Chaffetz, R-Utah, and Jared Polis, D-Colo., and in the Senate by Sen. Ron Wyden, D-Ore., that system may finally get fixed. Or, under a competing bill expected from Rep. Jerrold Nadler, D-N.Y., it could get even worse. Depending on which bill succeeds, Internet radio may flourish or flounder.”

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