House To Decide If Broadcast Radio Pays To Play
May 14, 2009, 1:19 PM
Broadcast radio stations may have to pay music labels to play their songs, much as satellite, cable and Net stations do, reports Reuters. Congress's Judiciary Committee voted overwhelmingly to send the Performance Royalties Act to the full House for a vote. The music lobby is pleased by the legislative action, since music companies have coped with declining CD sales and online piracy. Conversely, the NAB says 50% of all new fees would go to major labels, not the artists, adding that radio is essentially providing free advertising for new songs.