Sirius XM Music Royality Fees for Dish Subs

[cditty]

An interesting thread.

No, terrestrial doesn't pass it on to the consumer directly. We would have to pass it on to the ADVERTISER who then passes our fee on to their customer, the consumer. NOBODY wins.

I'm an "over the air" (terrestrial) broadcaster. Like us, XM and Sirius play music, and they already pay the publishers via BMI, ASCAP and SESAC. What's at risk with what is known as the "performance tax" or "peformance rights act" is broadcasters "performing it" for the public. Now here's the thing: If the music industry as a whole (record companies/artists via companies) are asking to be paid, then they ARE, by their own asking to be paid.... a sellable, marketable commodity. But then, so is a washer, dryer, or a dinner out that vendors pay US to advertise via commercials. Thus, music is a product, and radio has always given the music industry basically free advertising, as is XM and Sirius....just by playing the music.

Now, here's the SCARY part. Who is next in line to be targeted? TV is already on the list for music in their shows. The music industry has said so. How about the theatre? Certainly producers and movie companies pay to use music IN the movie, but what about those who go to SEE the movie? Will we start seeing a music performance surcharge at the theatre because the THEATRE is making money playing the movie which contains the music? How about at your favorite restaurant that already has satellite radio services (commercial-like muzak used to be) that they pay-for? will there be a "music surcharge" at dinner because music is performed for those eating dinner? Its a dangerous idea, and basically a bailout for an industry that is crying because they didn't change with the technological times.

What's next? A tax on the amount of toilet paper you use in your business? A per-petal tax for florists? Sounds far fetched, but....it draws a picture of a future where nobody wins.

I am in broadcasting as well and I see how much we already pay BMI & ASCAP yearly. It is already ridiculous, because we help them sell music. It is no different that what has happened with Arbitron. Look how many markets dropped them (mine included). How long before your music doesn't get on the radio at all unless you are on a label that gives an 'exemption' from performance royalties?

 

[Juan]

i think the answer is in here someplace http://www.bmi.com/brochures/royalty.pdf

 

[Voyager6]

they keep sending me a "5 months for $20" offer about twice a month so they must be hurting

I'm on my 2nd $20 for 5 month offer with XM. This is after the $77 for a year offer expired.

 

[radio]

Very insightful, and many good points. But the reality is, if artists don't get paid, the music will die. It's not a bailout for failure to keep up with technology. It's trying to regain control of their product which was pirated for years (napster, file sharing, etc.). It nearly killed the music industry and is killing print media as we speak. The truth is technology has made it easier to steal the works of artists, works of value.

To compare artists charging royalties for their work to taxes doesn't make any sense at all.

The music won't die. True artists have music in their very being. In fact, those who WANT airplay and are on their way up are e-mailing stations like our small one every day begging for airplay. They want play in small and large markets, and would KILL to be on XM and Sirius. They want to perform for the love of the performance. It's once greed takes over and there are Managers, Agents, Record Labels and all the "big guys" that the perception of "Music" becomes a perception of "business."

I agree, however....It really is not a "tax." That's the common person's language for our Government's blatant willingness to hear two industries fighting each other in the courtroom of Congress over greed. Truly, it IS one industry crying to the government about another.

Now, consider....as far as the artists' income...THEY pay for the rights to perform these works, just like we do, (if they don't write their own.) THEN...their income is based on their own PERFORMANCE. Meaning, their concerts, their mp3 downloads, their endorsements via music used in product advertising, and by the buying of ther ir perfornances in movies and TV. They (musicians) ARE a commodity, and no different than one brand name of a product that fights for the consumer's attention and money. It's the more popular ones make more money.

In a nut-shell, they (artists) need promoting. Public recognition. Public Relations. How do they get it? XM, Sirius, Muzak, Elevators (just kidding)...and Terrestrial.

THEY need US. Their greed, however doesn't allow them to see this yet. The "easy" American way out of a bad business model, of late (or out of a business whose model doesn't change with time and technology then heads toward failure) is to ask for a handout from people that are mandated to give it. And, its happening too much.

It still starts a dangerous trend that won't stop with music. That's my major concern. Whose industry is next?

(soapbox just got removed. Sorry.)

 

[chicagonettech]

We canceled our Sirius subscriptions because of this new "royalty fee" as well.

When we canceled, they asked why and I told them so - politely, but in no uncertain terms - no more taxes, no more fees.

The only time we ever listened is when we drove long distances - we never fly as we gave up on airport security a long time ago and, now with X-RAY vision and illegal strip-searches, we will NEVER enter another airport again.

Until reading this forum, I hadn't realized so many others have discontinued their subscriptions too. Unfortunately, no one at Sirius/XM will listen to the actual public and, because of outrageous commitments to "talent," and the fact that sports is the biggest chunk of costs for any broadcast re-trans contract - coupled with the fact that we neither listen to, nor do we desire to subsidize the high cost of broadcasting sports programs.

The royalty fee needs to be deep-sixed. The sports package costs need to be split off to a separate subscription package - both on satellite television and satellite radio - so those who do not want to listen to, or watch, them do not have to subsidize the high cost of that content for the few who do want to indulge in outrageous costs.

 

[The Fat Man]

i think the answer is in here someplace http://www.bmi.com/brochures/royalty.pdf

I read through this and found on page 12 in the book (P. 10 on the PDF File) that FOX and The CW aren't considered Networks by BMI. Getting off topic, we see a little more as to why FOX got greedy last month. Each O&O was responsible for paying royalty fees used in programming on the network. In the case of CBS, NBC, & ABC, the actual network pays the fee for all the affiliates. But with FOX and The CW, each affiliate pays their own fee. So for FOX, each O&O was paying music royalty fees.

I haven't read much of this yet, but it has to be addressed with Sirius XM and Mozaik available for Dish Network, Sonic Tap available for DirecTV, and Music Choice/Urge/etc. available for Cable and ISPTV.