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Right now in FMC-land we're hard at work on this Wednesday's Policy Day, which will be filled with bold statements, learned debates and intriguing ideas. We're nearly sold out and can accept only 3 more registrations, so if you want to attend, please register NOW. Read on for all the latest reasons to join the discussion!
1. FMC and ACS Present Technology and IP Policy Day: May 2, 2007
2. FMC Joins the Blogosphere
3. The Webcasting Rate Debate
4. FCC Announces Payola Settlement
5. Rock the Net Campaign Gains Steam
6. FCC License Window Announced
7. Official Media Ownership Hearing in Tampa: April 30
8. Newstream has moved to the Blog
1. FMC and ACS Present Technology and IP Policy Day: May 2, 2007
Registration closes at midnight ET on Monday, April 30, but if you've been meaning to register, you'll want to do it as soon as you can since we have only three tickets remaining! Register today for only $25.
It's been a wild and wooly 2007 so far, what with EMI's no-DRM experiment, the proposed XM/Sirius merger, the announcement of new webcasting rates, and the Copyright Royalty Board's refusal to reconsider the rates, the network neutrality debate and calls for copyright reform, With so many issues that could have a lasting impact on how music is distributed and sold, and how artists are compensated in the future, FMC is organizing a one-day event that will allow for a robust but balanced discussion of the music/technology debates that are emerging in the courts, Congress and at the Copyright Office.
The programming and keynotes will include discussions on emerging issues like:
Copyright-related bills including Section 115 reform
Digital rights management and interoperability
Internet radio and webcasting rates
Public performance right for sound recordings
Network neutrality and media ownership.
KEYNOTE SPEAKERS Representative Mike Doyle (D-PA) Member of House Energy and Commerce Committee, and Vice Chair of the Subcommittee on Telecommunications and the Internet
David Carson Associate Register for Policy and International Affairs, US Copyright Office
PANELISTS Duncan Black (a.k.a. Atrios) Blogger and Founder of Eschaton
Michael Bracy Policy Director, Future of Music Coalition
Fred Cannon Senior Vice President, Government Relations, BMI
Julie Cohen Professor of Law, Georgetown University
Scott Cleland President, Precursor Group Parul Desai Asst Director, Media Access Project and founder/owner, Propa Gandaz Music Group Bertis Downs Advisor, R.E.M., Athens LLC
Mike Holden Musician Joe Kennedy CEO and President, Pandora
Eric Logan Executive Vice President of Programming, XM Satellite Radio
Steve Marks Vice President and General Counsel, RIAA
Walter McDonough General Counsel, Future of Music Coalition
Michael Petricone Senior Vice President, Government Affairs, Consumer Electronics Association
Victoria Phillips Asst Director, Glushko-Samuelson Intellectual Property Law Clinic, American University
Patricia Polach Attorney, Bredhoff & Kaiser, Counsel for AFM of the United States and Canada Jule Sigall Senior Attorney, Copyright, Microsoft Law and Corporate Affairs
John Simson Executive Director, SoundExchange Gigi Sohn President, Public Knowledge Brian Zisk Technologies Director, Future of Music Coalition
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sponsored by: CEA * Microsoft * XM Radio * BMI * Loudcity
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Register online today for just $25.
Registration gives you access to all programming, cocktail parties and includes lunch.
Visa, Mastercard and American Express accepted through our secure server.
Space is now VERY limited!
PARTIES
We'll kick things off on Tuesday evening, May 1 at 7 PM with our traditional pre-event Pho dinner out at Nam Viet in Arlington, VA. It's a great way to meet folks over delicious food! Check the website for details.
During the event we'll have a sandwich lunch hosted by Consumer Electronics Association, during which CEA's President Gary Shapiro will deliver some remarks. And after the final panel, join us for a cocktail party on the 10th floor from 5:30 - 7:00 PM, hosted by Microsoft.
SCHOLARSHIPS
As with all our events, we offer a limited number of scholarships for working musicians to attend the event for free. We have only 1 musician scholarship left, so apply today.
In our recent subscriber survey, one of the features that supporters clamored for was an FMC blog. We heard you loud and clear. You wanted FMC to have a blog - and we now we do!
A lot has happened since our report in the March newsletter about webcasting rates, with some hopeful progress in the last few days. To recap:
On March 2, the Copyright Royalty Board issued new royalty rates for non-interactive webcasters, effective from 2006 to 2012. Specifically, the royalty payment rate would increase to .08 cents per song per listener retroactive to 2006, and would climb to .19 cents per song per listener by 2010. Without other action, these new rates go into effect on May 15, 2007.
This was a tremendously controversial decision. Many webcasters, especially the small and noncommercial ones, claimed that this royalty rate was far too high, in many cases exceeding their available revenue. If the financial impact is as severe as stated by some small webcasters, these new rates could mean less music and more advertising or, even worse, stations going off the air altogether because they can't afford to pay the new rates.
The small webcasters began to organize in early April, kick-starting letter-writing campaigns to Congress and the CRB and filing a motion for a rehearing. Meanwhile, SoundExchange continued to publicly support the higher rates as announced by the CRB. On April 16, the CRB denied the webcasters' a rehearing on procedural grounds, saying the webcasters didn't present any new evidence that would warrant a new hearing.
Without a rehearing, the webcasters turned to Congress for help. And late last week (March 26), Rep. Jay Inslee (D-WA) introduced HR. 2060, the Internet Radio Equality Act. The bill has five major provisions (this bill explanation taken directly from RAIN):
It nullifies the recent decision of the CRB judges
It changes the royalty rate-setting standard that applies to Internet radio royalty arbitrations in the future so that it is the same standard that applies to satellite radio royalty arbitrations.
It instructs future CRBs that the minimum annual royalty per service may be set no higher than $500.
It establishes a "transitional" royalty rate, until the 2011-15 CRB hearing is held, of either .33 cents per listener hour, or 7.5% of annual revenues, as selected by the provider for that year. Those rates would be applied retroactively to January 1, 2006. (The logic behind this rate, incidentally, is an attempt to match the royalty rate that satellite radio pays for this royalty -- thus the name of the bill.)
It expands the Copyright Act's Section 118 musical work license for noncommercial webcasters to enable noncoms to also perform sound recordings over Internet radio at royalty rates designed for noncommercial entities, and sets an transition royalty at 150% of the royalty amount paid by each webcaster in 2004. (Note that this amount would be a set, flat fee through the end of the decade.) More analysis of HR 2060 here by Kurt Hanson
Whether this legislation presents a solution that is agreeable to all stakeholders remains to be seen, but we're glad to see that the process of developing a royalty rate framework is moving ahead. Through all of these negotiations, FMC remains committed to four key points:
1. Internet radio is an incredibly valuable music platform for musicians, fans and labels
FMC supports the continued growth of internet radio. It has the unparalleled ability to develop loyal, worldwide audiences for niche musical genres -- from 60s rock to contemporary classical to southern blues -- something that is incredibly valuable for all the artists and labels that work outside the "mainstream" formats. Small and noncommercial webcasters in particular have proven to be a valuable promoter of both independent music and genres that are routinely ignored by commercial broadcasters.
2. Performers and labels should be paid.
We have and always will support the digital performance royalty, which are the royalties paid by webcasters and satellite radio to SoundExchange, which then pays them to performers and sound recording copyright owners (usually the record label). As webcasting continues to grow, the digital performance royalty will also grow for performers.
3. Rates proportionate to the size of the webcasters.
We also believe that the "one size fits all" approach that was part of the March 2007 rate setting decision would be harmful to the small and non-commercial webcasters. There's a vast difference between the staffing and revenue generated by a volunteer-run internet radio station and an AOL or Clear Channel. These differences in resources and revenue - not to mention motivation for running a station -- makes a tiered system the most sensible solution: charge the big broadcasters a higher rate, and the small webcasters, hobbyists and noncommercial webcasters lower rates that match their revenues and resources. This ensures artists get paid and small webcasters stay online.
4. Streamline the reporting process.
FMC continues to believe that it's important to develop a reporting process that ensures that even the smallest webcaster can file timely and accurate playlists with SoundExchange. For years we have urged the development of an authentication database, managed by a neutral third party, through which copyright ownership and performer information would be verified. Such a database would reduce filling time and errors on playlists, thus making sure more money flows directly to artists.
To summarize, FMC believes that large commercial webcasters should pay higher rates, similar to the way that royalties are calculated in the terrestrial radio setting, and we call on parties to adopt reasonable rates and reporting requirements for clearly-defined categories of small, noncommercial and hobbyist webcasters that will ensure the future development of this medium.
In the end, whether through legislation, court action or negotiation, FMC hopes that the webcasters and SoundExchange can work together to strike a balance that recognizes the value of webcasting to creators and listeners, but also properly compensates artists, performers and labels for uses of their work.
FMC will continue to monitor the webcasting rate activity. We'll also be speaking about it this week during our Music, Technology and IP Policy Day on May 2. Check out the event for details
Well, it’s official. The FCC settled with some of the largest broadcasters over allegations that they were engaging in payola.
The terms have been widely reported over the last month, but it's worth taking a look at some of the details again. To resolve the allegations, CBS Radio, Citadel Broadcasting Corporation, Clear Channel Communications and Entercom Communications Corp. agreed to pony up $12.5 million and provide more than 4,000 hours of airtime to local and independent artists. They will also face tighter requirements:
Maintaining a database containing a record to identify all items received from record labels that exceed $25
in value
Appointing a Corporate-level Compliance Officer who is responsible to ensure compliance with the Consent Order, and all sponsorship identification laws
Designating a Compliance Contact for each market
Maintaining a company hotline for employees to call the Compliance Officer to obtain advice and report payola violations
Conducting annual training for all programming personnel and supervisors
Sure we would have liked more airtime for independent artists, but given the current composition of the Commission this is a historic day in the fight against payola. FMC be lives that payola and radio consolidation were the primary reasons that commercial radio has become a bland, homogenized product that largely ignores independent musicians and whole genres of music such as jazz and bluegrass. This agreement signals a possible new direction for commercial radio and more options for radio listeners.
We will continue to monitor the situation, especially as radio stations implement their compliance measures and program independent music.
We're working on a payola FAQ that will answer more specific questions about how this settlement impacts musicians. Got a question? Send it to suggestions@futureofmusic.org
5. Rock the Net Campaign for Network Neutrality Gains Momentum
Rock the Net launched just a month ago with support from such artists as R.E.M., Pearl Jam, Boots Riley of The Coup, Ted Leo, Death Cab for Cutie, OK Go, the Kronos Quartet, Sarah McLachlan, Barenaked Ladies, Calexico, The Donnas, Kathleen Hanna. Since then, hundreds of other musicians and independent record labels have joined the campaign to support the fight for net neutrality.
At the Rock the Net website you can sign on to the campaign, then add your upcoming shows to the Rock the Net database, which will display on our interactive map cataloging events around the country. You can also invite other bands to join, sign a petition and send a letter to Congress. Our goal is to demonstrate the music community's nationwide support for the principle of net neutrality.
6. Full Power Non-Commercial Radio License Window Announced
This fall, the Federal Communications Commission (FCC) will give away hundreds of full power non-commercial educational (NCE) licenses for any qualified nonprofits. The FCC has just announced that applications for these licenses will be accepted between October 12 and October 19, 2007. For ten years, no new licenses have been given out. If you have ever dreamed of starting your own radio station, this is likely to be your last chance before all remaining FM spectrum is given away.
Since the licensing window is only 7 days long, potential applicants need to be prepared. Luckily, FMC can help! To learn more about how to apply for a license to start your own radio station, read our fact sheet on noncommerical radio licenses.
7. FCC Holds Official Hearing on Media Ownership Issues in Tampa, FL Tonight! (April 30)
The FCC is holding its fourth official public hearing on media ownership issues in Tampa, FL tonight, Monday, April 30 from 4 pm - 11 pm at Tampa Bay Performing Arts Center, Louise Lykees Ferguson Hall, 1010 North W.C. MacInnes Place, Tampa, FL 33602.
At the three previous hearings - in Los Angeles, Nashville, and Harrisburg, PA - the public has expressed their overwhelmingly opposition to further media consolidation.
As Commissioner Copps, a native of St. Petersburg, FL says in this St. Petersburg Times op-ed, "when it comes to the fate of the people's airwaves - your airwaves - no voices should be as important as yours."
If you're in the area, please make your voice heard and give your testimony for the public record. For maps, directions, and workshops on preparing testimony, visit the Free Press website.
Public Enemy Frontman, Production Team and Insiders Discuss Landmark Album On July 17, FMC and Pitchfork Music Festival will host a free discussion about Public Enemy's It Takes a Nation of Millions to Hold Us Back at Chicago's Cultural Center, featuring Chuck D, members of PE's production team and music media experts.
July 8, 2008 Press release | Event Page
FMC Files Brief to Protect Creative Expression
FMC and the Center for Creative Voices in Media filed a brief at the Second Circuit Court of Appeals, arguing that the FCC's indecency policy has a chilling effect on creativity and expression and deprives the public of access to protected speech.
July 2, 2008 Press release | Indecency amicus brief (PDF)
Wilco, Bright Eyes, Aimee Mann & more "Rock the Net" on Compilation CD
Thirsty Ear Recordings to release album on July 29 to benefit FMC's "Rock the Net" campaign for net neutrality.
June 2, 2008 Press release | Rock the Net
Musicians Get the Hint About Health Insurance
Two Raleigh concerts in memory of musician Drew Glackin; proceeds go to Glackin’s family and Future of Music Coalition’s Health Insurance Navigation Tool
April 10, 2008 Press release FMC's HINT program
New York State Music Education Events Examine Crucial Issues Facing Artists Forums in Rochester (April 28), Syracuse (April 29) and Albany (April 30) to focus on music, media, technology and policy issues for songwriters, composers and performers from all genres.
March 25, 2008 Event details | RSVP
Pop Rockers OK Go "Tour" Congress in Support of Net Neutrality
Damian Kulash and Andy Ross discuss the importance of open Internet structures to musicians; Kulash testifies before House Judiciary Committee.
March 13, 2008 Press release
Spoken testimony
Written testimony
Rock the Net
New York State Music Education Events Examine Crucial Issues Facing Artists Kick-off forum in Buffalo on April 2 to focus on music, media, technology and policy issues for songwriters, composers and performers from all genres. March 7, 2008 | Event details
Philly Bands Rocking for Net Neutrality February 23 Sugar Town show at Tritone in Philadelphia will showcase lady rockers and DJs, as well as musicians' support for net neutrality. February 15, 2008
OK Go and Bonerama Rocked DC for New Orleans Musicians Bands also champion FMC's "Rock the Net" campaign for net neutrality February 2 benefit show at DC's 9:30 Club raised over $8,000 for New Orleans musicians. Bands played cuts off their new benefit EP, You're Not Alone, available on iTunes on February 5. February 4, 2008
Upcoming Washington, DC show and benefit EP from OK Go & Bonerama
On February 2, OK Go and Bonerama will play a benefit at D.C.'s 9:30 Club in support of You're Not Alone - an EP to support Sweet Home New Orleans and Al "Carnival Time" Johnson. January 21, 2008
Successful New Orleans Concerts Aid Big Easy Musicians
Last week, two benefit concerts raised over $6,000 for Sweet Home New Orleans - a coalition of non-profit organizations that helps find affordable housing and provides rental assistance for the city's musicians - and Big Easy music legend Al "Carnival Time" Johnson.
January 15, 2008 Press release | Event details
Ann Chaitovitz Appointed
FMC's New Executive Director A proven leader in musician and public policy issues, Chaitovitz replaces founding Executive Director Jenny Toomey January 3, 2008
Concerts for New Orleans Musicians Bring Artists Together Two New Orleans shows and upcoming benefit CD from OK Go and Bonerama January 2, 2008
FMC's Jenny Toomey Appointed Program Officer for Ford Foundation
Kristin Thomson to Serve as FMC’s Interim Executive Director Michael Bracy to Chair FMC Board of Directors November 26, 2007
Seattle "Rocked the Net" Rep. Jay Inslee advocated network neutrality;
joined by rocker Matt Nathanson, Reclaim the Media, FMC and local music business representatives October 31, 2007
Rock the Net: Campaign for Net Neutrality Rocks Seattle
Teleconference with Rep Jay Inslee on Tuesday, Oct 30. Matt Nathanson performs at Seattle’s Crocodile Café on Tuesday, Oct. 30 October 26, 2007
Future of Music Policy Summit to Tackle Critical Issues at the Intersection of Music, Law, Technology and Policy Sen. Byron Dorgan and Sen. Ron Wyden to Deliver Keynote Addresses
Mac McCaughan, Bob Mould, Marybeth Peters of the U.S. Copyright Office and More Than 90 Other Panelists Confirmed. September 10, 2007 Summit home page Press Credentialing
AT&T's muting of bands points toward a pattern of silencing political speech Content monitor did not edit out 20 instances of curse words during Pearl Jam webcast, despite AT&T claim it hires monitors to block "excessive profanity". August 13, 2007
Top musicians, lawyers, technologists confirmed for FMC's 7th annual Policy Summit August 13, 2007 Press Release Summit home page Press Credentialing
FMC Statement on AT&T Silencing Pearl Jam's lyrics during Lollapalooza webcast August 9, 2007
FMC Statement on Federal Trade Commission Report on Net Neutrality June 29, 2007
FMC files testimony with House Small Business Committee on CRB Webcasting Rates June 27, 2007 Press Release | Testimony
Clear Channel strips local, independent artists of digital performance royalties
FMC has discovered that Clear Channel's online application for local and independent artists to submit their music for airplay on each of its stations requires the artist to approve a licensing agreement that does away with their digital performance right. June 22, 2007
Low Power Radio Gets New Push in Congress
Congress introduces bills to create hundreds of new low power FM radio stations to cities and suburbs across the country. June 22, 2007
FMC Announces Dates for 7th annual Policy Summit
September 17-18, 2007
GWU Betts Theatre, Washington, DC June 11, 2007
FMC Organizes "Musicians Bringing Musicians Home II"
A Benefit Concert on May 27 at New Orleans' Tipitina's for Sweet Home New Orleans featuring: Indigo Girls, Damian Kulash of OK Go, Jim James of My Morning Jacket, Matt Nathanson, Pamela Z...and special guests
May 23, 2007 Press Release | Details
Congressman Mike Doyle to address conference on music, law and technology
May 2 event will bring together leading experts from worlds of music, law, technology and policy. April 25, 2007
A2IM Endorses Rock the Net Campaign
American Association of Independent Music urges its label members to join the campaign for network neutrality. April 17, 2007
Music Mashes with Policy at upcoming Technology and IP Policy Day
May 2 event will bring together leading experts from worlds of music, law, technology and policy. April 16, 2007
FMC Applauds FCC's Payola Settlement
Payola agreement by FCC and big broadcast chains represents a major - but tentative - step toward once again opening the nation's airwaves to local music and voices. April 13, 2007
Rep. Edward Markey, Ted Leo kick off "Rock the Net"
Nearly 150 artists and labels have already signed onto campaign for net neutrality
March 27, 2007 Press Release | Rock the Net
Major Artists To Join Launch of Rock the Net Campaign for Net Neutrality March 23, 2007
FMC Statement on FCC's "Rules of Engagement" On Payola March 5, 2007
FMC Files Reply Comments in FCC Media Ownership Proceeding January 16, 2007
FMC Statement on FCC Payola Settlement
FMC's statement on FCC's reported consent decree with the broadcast industry in regards to payola. January 16, 2007
Radio Station Ownership Consolidation Shown to Harm Musicians and the Public
FMC study shows that the rapid consolidation of the commercial radio industry that followed the Telecommunications Act of 1996 has led to a loss of localism, less competition, fewer viewpoints and less diversity in radio programming in media markets across the country.
December 13, 2006 Press release Report details
FMC Organizes Musicians Bringing Musicians Home Benefit concert at New Orleans' Tipitina's on November 6th featuring Steve Earle, Mike Mills, Allison Moorer, Tom Morello, Boots Riley, Corin Tucker and special guests.
October 23, 2006 Read press release Read press coverage
Job
Losses Associated with Radio Consolidation Undermine Localism and Diversity FMC, Newspaper Guild and Consumers Union urge FCC to take employment effects
of their policies into account during upcoming review of media ownership rules August 9, 2006
FMC Releases Research on Employment and Wage Effects of Radio Consolidaton August 9, 2006
FMC on Preserving the Dynamism of the Internet Opinion Piece on ABC News June 29, 2006
FMC Statement on Senate Commerce Committee Vote in Support of LPFM June 28, 2006
FMC Statement on FCC Media Ownership Proceeding June 21, 2006
Indie-rock revolution, fueled by net neutrality Op-ed by FMC's Jenny Toomey and Michael Bracy June 13, 2006
Pearl Jam Donation To Help Musicians Help Themselves Proceeds From Washington, DC Appearance to be Donated to FMC Artist Research
Council May 25, 2006 Press Release
FMC signs on letter to preserve net neutrality May 17, 2006
FMC Announces Dates for Sixth Annual Future of Music Policy Summit
October 5-7, 2006 Media Advisory May 15, 2006
FMC Statement on Release of Feingold's Radio and Concert Disclosure
and Competition Act of 2005 November 18, 2005
FMC Sends Letter to Senate Commerce Committee in Support of a
Public Performance Right for Sound Recordings October 19, 2005
Top Names in Music, Law, Technology and Policy Return to Debate Critical
Issues at Fifth Annual Future of Music Policy Summit
September 6, 2005 Media Advisory | Policy
Summit home page
FMC Announces Health Insurance Navigation Tool
August 9, 2005 HINT Home Page
FMC Press Release: Music Mashes with Policy at DC Policy Day April 8, 2005
FMC's Michael Bracy Testifies in front
of House Judiciary Committee on "Digital Music Interoperability" April 6, 2005
FMC files comments at US Copyright Office on "Orphan
Works"
Comments also ask Copyright
Office to consider status of out-of-print recordings March 25, 2005
FMC Sends Letter to Senate Stating Concerns about S 193, Broadcast Decency Enforcement
Act March
10, 2005
FMC and artist groups file joint reply comments at FCC on localism in broadcasting,
MB Docket 04-233
January
3, 2005 PDF of document