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The Galaxy copes with additional royalty fees

By: Megan Connelly

Issue date: 4/12/07 Section: News
Phillip Eddins, a Galaxy disc jockey and senior media communications major, manages the sound board April 4 in the Galaxy's studio.
Media Credit: Ashley Gieseking
Phillip Eddins, a Galaxy disc jockey and senior media communications major, manages the sound board April 4 in the Galaxy's studio.

The recording industry has succeeded in squeezing more money from broadcasters. Internet-based radio stations, including Webster's Galaxy, are facing additional royalty fees as SoundExchange, a spin-off division of the Recording Industry Association of America, seeks artist retribution.


The Copyright Royalty Board has ruled that royalty rates be paid to performing artists from Internet stations that play their songs. Webcasters are asking the board to reconsider its decision, while Student Media Coordinator James Singer is reluctantly accepting the fee. Noncommercial, educational stations at schools with fewer than 10,000 students, like Webster's Galaxy, are subject to an annual fee of $250.


"At a university environment, in an educational situation, that's a pretty cheap investment, $250," Singer said. "I don't think it's that terrible. We want to comply because, first of all, we value this program and if somebody said, 'You could lose it if you don't pay $250,' well certainly somebody's going to fork $250 over."


Singer said he thinks the station's budget should cover the added cost. Webster already pays royalties to four other performance rights organizations - American Society of Composers, Authors and Publishers, Broadcast Music, Inc. and Society of European Stage Authors & Composers. These groups represent writers and composers, whereas the new royalties will go toward singers, musicians and their record labels.


"The fact is, we don't appreciate those who take music for granted," said John Simson, executive director of SoundExchange. "Artists should be paid for the value of their hard work, their investment and their creativity. We value Internet radio and are certainly interested in working with them to encourage a vibrant marketplace."


Standard radio stations are not responsible for SoundExchange fees because the technology existed before SoundExchange was formed in 2000.


It also is possible that Internet-based stations would be liable for retroactive fees dating back to 2000, Singer said.


"I'll pay what we have to pay and what's right, but why should we have to pay fees for something we never played? It's stupid," Singer said.
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