SoundExchange “Leveraging†Net Radio Fees for Force DRM
Thursday, July 19th, 2007Ars Technica has written a couple of scathing articles over the last week on SoundExchange’s attempts to force digital rights management on small Internet radio broadcasters in exchange for capping the exorbitant royalty fees the Copyright Royalty Board has ordered them to pay over the next three years. This is certainly a move the music industry would love, as it would help eliminate the ability for many listeners to rip music from the audio streams. Of course, the old fashioned way of exercising one’s rights under the Audio Home Recording Act of 1992, a simple male-to-male audio cable from one’s headphone port to the mic port, still sounds like a viable option.
The basic principle of what SoundExchange is allegedly trying to do would set a dangerous precedent. The music industry has not been able to force the government to mandate DRM for Internet radio, so instead it has turned to “leveraging†royalty fees that, if enacted, would put most small operators out of business. That was the point of the Day of Silence in the first place. However, it seems clear that the music industry is desperate to find some way of regaining control of its product (which is, we might like to add, not technically owned by anyone as it is part of culture) and will destroy the only very medium that could save it from its own failed business model just to prove that it is right.
(from Ars Technica)

