SoundExchange Reaches Out to Webcasters

SoundExchange Reaches Out to Webcasters

-Seeks Robust Business Environment For Music-

WASHINGTON, April 19 /PRNewswire-USNewswire/ -- In an effort to ensure a robust business environment for both webcasters and creators of music, SoundExchange announced today that it is in discussions with some webcasting services, both commercial and non-commercial, following the recent rate- setting decision by the Copyright Royalty Board (CRB). SoundExchange is exploring mutually beneficial business arrangements that help to foster growth of Internet radio and provides fair compensation to creators of music.

In its ruling of March 2, 2007, the CRB increased royalty rates paid to artists and record labels from performances on Internet radio to more favorably reflect the value of music to webcasters.

SoundExchange contacted some services several weeks ago in order to seek information and schedule possible discussions, and it is willing to meet with additional webcasters as well. "Our continued outreach reflects our long- standing position that these are two businesses -- webcasting and creating music -- that are joined at the hip and that need each other," said John Simson, Executive Director of SoundExchange. "We recognize that there may be certain needs and expectations, as expressed by webcasters in recent days, that might possibly be addressed through direct discussions," added Simson.

While SoundExchange maintains that the CRB's decision is sound and reflects the fair value for music in the market, SoundExchange stands ready and willing to engage the webcasters on issues of importance to them. "We sought a dialogue with these services in order to determine if there is an appropriate business solution that addresses their concerns while still ensuring fair compensation for artists," said Michael Huppe, General Counsel of SoundExchange. "It is in the industry's interest to foster the continued growth of Internet radio, and we stand ready to work towards that goal," added Huppe.

Background

On March 2, 2007, the Copyright Royalty Board issued a fair and reasonable decision that sets compensation rates to be paid artists and record labels for the public performance of their works by Internet radio broadcasters from 2006-2010. The three-judge panel heard testimony from dozens of witnesses and conducted a comprehensive review of tens of thousands of pages of evidence submitted by all interested parties over an 18-month period. The decision is a reflection of the need for artists to be fairly compensated for the performance of their work by webcasters who benefit -- financially or otherwise -- from their talents. As the music industry evolves from CD-only sales to multiple distribution platforms it is critical that creators of music share in revenues from all platforms.

SoundExchange is the first performance rights organization in the United States to collect and distribute digital audio transmission royalties to artists and sound recording copyright owners. SoundExchange represents over 2000 record companies and thousands of recording artists, and is seeking out more labels and artists who are owed royalties for sound recordings played on digital cable and satellite television music services, satellite radio services or streamed via non-interactive webcast. The non-profit organization is governed by a board of artist and label representatives. Services include track level accounting of performances to all members and collection and distribution of foreign royalties to all members. All artists, labels and/or their representatives are invited to visit http://www.soundexchange.com/.

For additional information please visit http://www.soundexchange.com/.

CONTACT: Richard Ades or
Gregg Perry
202-640-5894
News@soundexchange.com

Source: SoundExchange

CONTACT: Richard Ades or Gregg Perry of SoundExchange, +1-202-640-5894,
News@soundexchange.com

Web site:

http://www.soundexchange.com/

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