Washington, DC (February 5, 2009)–SoundExchange and National Public Radio (NPR) have reached an agreement on royalty rates for public radio stations streaming music online. This follows the significant increase imposed by the Copyright Royalty Board (CRB) in May 2007 that jeopardized the continued existence of some online stations.
The agreement establishes the amount of royalties that will be paid by CPB on behalf of the public radio system for streaming sound recordings on a variety of public radio websites during the period January 1, 2005 through December 31, 2010. The agreement was reached under the authority of the Webcaster Settlement Act of 2008 (H.R. 7080) and will cover approximately 450 public radio webcasters including CPB supported stations, National Public Radio, NPR members, National Federation of Community Broadcasters members, American Public Media, the Public Radio Exchange, and Public Radio International.
Under the agreement, public radio webcasters will be entitled to alternative statutory royalties from those established by the Copyright Royalty Board (CRB) in May 2007. SoundExchange is to receive a single up-front royalty payment of $1.85 million together with consolidated usage and playlist reporting from CPB on behalf of the entire public radio system. NPR has also agreed, as a condition of the agreement, to withdraw its appeal of the May 2007 CRB royalty rate decision.
Corporation for Public Broadcasting (CPB)
Digital Media Association (DiMA)