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Answer from BMI regarding widget use.
  • reaperreaper April 2011
    I emailed BMI in regards to the widgets available form Shoutcast and RadioTime that stream directly from the widget.

    Here is my question:
    I am wondering if the Widgets that are offered by streaming sites like RadioTime and Shoutcast legal for placement on any website?

    This is their response:
    Typically, the licensing obligation falls upon the website making music available to the end user.

    My interpretation is that it is the responsibility of the website displaying the widget for the proper license. Not Shoutcast's or RadioTime's. I have another question about cost of the license for streaming directly off our own website and will post this when I get it.
  • reaperreaper April 2011
    I received an answer already.

    My question:
    My understanding is that a license must be obtained from you (BMI), ASCAP and SESAC to be compliant. Is that correct?

    Their reply:
    Yes, that is correct.

    Pricing is based on listener slots available and monthly gross revenue. So I did not get pricing for the BMI license.
  • JackJack April 2011
    That was exactly what I suspected, however, a good lawyer can make a case that RadioTime or ShoutCast is participating in the crime by making the widget available.
  • koshermetalkoshermetal April 2011
    I tried looking into this before I found out about Loudcaster. Unless you have a decent sized budget (meaning thousands), I wouldn't recommend going this route. Below is what I figured out based on both 100 listeners and 50 listeners. Sorry if it's a bit cluttered, but I mainly put this together for my own use.

    Immediate start up based on 100 listeners:
    • Shouthostdirect.com – 128kpbs/100 listeners/ULBW (Unlimited bandwidth) = $20/month or $50/quarter ($200/year)
    • $25 filing fee to Copyright Royalty Board http://www.copyright.gov/forms/form112-114nou.pdf
    • Soundexchange Commercial Webcaster License http://soundexchange.com/service-provider/rate-tables/commercial/alternative-rate-structures/webcaster-rates/ An annual minimum fee of $500 is required, which is applied against the service’s total annual liability. $500/.0018=277,777 performance cap (2011 Royalty rate = $0.0018 (2012 is $0.0020)) – Rate of $0.0018 per performance is paid above the cap and must provide monthly statements of account. Performance = song x listeners (ex 2 songs x 10 listeners = 20 performances). 100 listeners x 24hrs/day x 365 days/yr = 876,000. 876,000-277,777= 598,233 (x.0018)=$1077
    • ASCAP = $525.60/year but paid in increments of $250 until paid in full (250, 250, 25.60)
    • BMI = $320/year
    • Sesac = $788.40/semi-annual

    TOTAL = $4225

    Immediate start up for 50 listeners:
    • Shouthostdirect.com – 128kpbs/50 listeners/ULBW (Unlimited bandwidth) = $10/month or $30/quarter or $50 semi-annual
    • $25 filing fee to Copyright Royalty Board http://www.copyright.gov/forms/form112-114nou.pdf
    • Soundexchange Commercial Webcaster License http://soundexchange.com/service-provider/rate-tables/commercial/alternative-rate-structures/webcaster-rates/ An annual minimum fee of $500 is required, which is applied against the service’s total annual liability. $500/.0018=277,777 performance cap (2011 Royalty rate = $0.0018 (2012 is $0.0020)) – Rate of $0.0018 per performance is paid above the cap and must provide monthly statements of account. Performance = song x listeners (ex 2 songs x 10 listeners = 20 performances). 50 listeners x 24hrs/day x 365 days/yr = 438,000. 438,000-277,777= 160,223 (x.0018)=$288.40
    • ASCAP = $288.00/year but paid in increments of $250 until paid in full (250, 38, 0, 0)
    • BMI = $320/year
    • Sesac = $394.20/semi-annual = $788.40/yr
    TOTAL = $2260
  • reaperreaper April 2011
    Keep in mind that this does not just pertain to the widgets but also having a link on your site with the raw URL for a Shoutcast stream that plays with 3rd party media players.
  • JackJack April 2011
    reaper, you mean one that actually launches the stream, not a link to a page on which you can launch a player, right?
  • reaperreaper April 2011
    Yep.
  • DJTDJT April 2011
    This is the thread I was going to say Thank You to Leo for doing all the legwork!

    I put it on the other thread by mistake. So, again, thanks for doing all the research!
  • reaperreaper April 2011
    No Problem. The discussion means nothing because we are mostly speculating. I feel it is our responsibility to find out what's right and what's wrong.

    But, I feel that if someone were to get flagged for doing something they shouldn't, they would get a warning letter or 2 and then they would monitor for compliance. If you didn't comply after that, then you would have a problem.

    But complete ignorance is no excuse in my humble opinion.
  • starrfoxxstarrfoxx April 2011
    Thank you for researching this.
  • I am new to all this, BUT I do know a thing or two about business-and how the music business is killing itself with paranoia. I am also a musician and know many, talented, unpaid musicians. I want musicians and record companies to get paid.
    I know this is reaching well beyond the subject of this post, but shouldn't WE the Microbroadcasters find some way to make it easier for US to broadcast and THEM to make money? It just seems that if the licensing system was simplified for small broadcasters in a way that we could grow our audience, sell advertising, and share revenue that everybody could make money? I am thinking of a variation on the Youtube model. It would seem to me that small amounts of money for everybody are vastly superior to NO money for ANYONE. I don't know about yous guys, but alot of the music I play is getting NO airplay (and thus, NO ROYALTIES) anywhere. There are now close to 7billion pieces of "The Pie" available on this planet and most of them LOVE music. In my whole 41 years-most of which I have dealt with dozens of different people every day-I have met exactly ONE person who openly professed to not liking music. I am willing to spend some time on this if anyone has any thoughts.
  • radiowayne notes that similar discussions have taken place over the last few years. At this time it appears that the recording industry is not interested in changing the model. Note that historically the recording industry is slow to change. The major part of the paranoia seems to be a control issues. The recording industry had a lot of control over what people heard in the past. The digital alternatives of today remove control from the recording industry. They are trying to regain complete control. Remember that in general the recording industry cares mostly for its welfare first and the welfare of its artists second.

    Wayne G. aka radiowayne who is also a folk musician who doesn't make a lot of money off of his music.
  • thelegacythelegacy May 2011
    I think Ad Supported Music where the RIAA actually allows all music to be sold online. Maybe have instead of DRM AEM (Ads Enforcement Management). It works like this:

    Johnny buys ZZ Top's Afterburner album. He enters his serial number when it says" Own this enter serial" Now Johnny has the right to listen without ads on 3 devices. Now Hohnny being an avid p2p Pirate that he is distributes the album on Frostwire,Bit torrent or whatever. Now Michael says Hey cool brand new clean copy of ZZ Top's Afterburner album. He downloads it and to his surprise it says "own this enter serial" Listen for FREE click here. He clicks the FREE button. Now he hears a 30 second ad for car dealerships in his area via IP targeting. then the song plays. Each song on that album will have a 30 second ad and until each song is played 99 times (99 cents per song) it will continue to play an ad before the song plays. If Michael before his 99 plays are up decides to burn the album to CD he gets ads before every song. After 99 times he gets a clean copy of the album or maybe restrict CD burning entirely until every song on the album has played 99 times or he clicks Buy Now and enters his credit card info.

    The RIAA could have made a super killing by making an ad supported p2p app that paid artists according to the Downloads people did. Their file sharing would continue but artists make $$ but the RIAA missed the boat and musicians suffer from their sheer greed.

    RADIO STATIONS and AEM: Radio stations could have been allowed and maintained by the RIAA with Ad Supported Shoutcast apps that had banner ads at the bottom of the app or when a person first tunes into the station plays an add. Each add pays the RIAA their blessed money they crave and if they actually played nice with the artist would give them their fair share. Stations would not have to be licensed for the RIAA would fully control Shoutcast or Loudcaster, Loudcity whatever.

    File Sharing will always be something people will do so why not figure out ways to make $$ from what technology can offer easily enough. What makes Rhapsody less attractive in the past years was the fact that it didn't offer every single song from every single artist when you subscribed. $15/mo is a fair deal when I can get every single song available at my fingertips and yet it pays artists. I agree artists deserve compensation for their hard work but the sheer greed of the RIAA is what drives many to "Piracy".

    NOTE for anyone reading this THIS DOES NOT MEAN I CONDONE PIRACY NOR DOES IT MEAN THE STAFF OF THIS COMPANY CONDONES IT. Piracy is a crime and if caught will put you in financial ruin. This is strictly for education and discussion ONLY!!!!

    Real Album Rock
    http://thelegacyrocks.24ex.com
  • sammy7545sammy7545 July 2011
    ok so after reading all this am i to understand that the widget on a website needs licensing ?......even if the listen now is directed to the stations home page on loudcaster ?
  • reaperreaper July 2011
    No, it only applies to the player/widget available from TuneIn/Shoutcast.
  • sammy7545sammy7545 July 2011
    whew....cause it took me a month and a day to get that right.....lol i had to download a seperate module for that cause the editor in joomla was screwing with the code....thanks

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