RIAA Turns Its Money Extractor Ray On Satellite Radio
from the pay-and-pay-some-more dept
The RIAA has been renegotiating the royalty rates it gets from XM and Sirius for several months now, and like anybody would, they’re trying to raise what the companies pay them. But Sirius’ CFO says the group wants 30 percent of the satellite radio companies’ revenues. The RIAA sees XM and Sirius as interactive, rather than broadcast services, hence the raised demands — so, of course, this has nothing to do with the RIAA not liking the new services XM and Sirius are introducing that let users record material off the air, even if some of those services are geared towards selling music downloads. Times are looking a little tough for satellite radio, with the costs of running their networks coming home to roost — having to pay out 30% of their revenues to the RIAA wouldn’t exactly help their cause.