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Monday, April 30, 2007 Will May 15th Bring the Sound of Silence? Laurie Joulie, Director - Roots Music Association

As I logged onto last Monday morning's press conference call, that was scheduled to announce the launch of the SaveNetRadio coalition, the word was being passed around that the Copyright Royalty Board had just announced that they were denying an appeal hearing with respect to their previous decision of March 2nd, 2007.

If you haven't heard by now the webcast royalty rate decision that the CRB accessed at the direct request of SoundExchange is set to directly threaten the viability and very existence of internet radio when it's implemented in less than one month.

Although hearing the decision was disappointing, it certainly wasn't unexpected because in reality the SaveNetRadio coalition was set up to address that potential outcome by developing an online hub of activity and initiatives designed to motivate and encourage consumers, webcasters and artists/labels to proactively lobby Congress.

We're now at the point where government intervention is the only likely recourse left to salvage the medium that has been responsible for revitalizing the independent, roots based music industry. The alternative option of a plea to the US Court of Appeals is a lengthy one and the reality is that once the royalty fees go into effect on May 15, 2007 most internet broadcasters will be forced to begin the process of shutting down their webcasts.

If you peruse this site, or the internet for that matter, you'll find vast statistical arguments and information as to why this decision is economically disastrous for the webcasting industry. You don't have to have a Master's degree in economics to grasp the logic that too much money out and not enough money in results in having to close your business. Webcasters are facing an increase in realm of 300-1200% in royalty fee payments to SoundExchange.

Imagine your bank telling you that next month instead of your usual $1000 payment you'll have to pay between $3000- $12,000, irregardless of what income you bring to your household and that in addition you’ll also have to pay this amount retroactive back to this time last year immediately. I would venture to say most of us would find ourselves homeless in very short order.

This decision has the very real potential to force the closure of a wide realm of online webcasting sources that have significantly impacted the growth and development of independent music across all genres. To lose this avenue of promotion and support for roots music would be devastating with respect not only to its financial impact on the industry, but to its cultural survival.

On any given day online listeners can traverse a rich, diverse landscape of music of roots based music that sadly has been diminished into near non-existence on terrestrial radio in favor of more lucrative, mainstream music that is designed specifically for its mass appeal.

Historically roots based music has been a series of niche based genres that have survived by being passed down from one generation to the next by the natural process of cross-generational familial and social perpetuation. Like it or not, the new norm of listening to music individually via new age technology has changed this dynamic and now traditional roots based music must be actively sought out and discovered. Ironically, the very industry that changed this dynamic is also responsible for giving us the music back. Internet webcasts are virtual goldmine for those looking for new and vibrant roots based music.

I've been struggling since last Monday morning's announcement to try and put my thoughts to paper, to somehow do my best to try and motivate the masses into action and impress on those who will read this just how important tit is that we make sure we speak up now, or like the proverbial marriage ceremony warning, 'forever hold your peace.'

Time has not been as affordable since that morning as I would have liked, and now you're reading this an entire week later than I intended and I realize that within the rationale for the lateness of this plea lies the reason why this issue is so imperative.

The Roots Music Association was formed approximately a year ago to assist the struggling roots music industry to find its voice and to help ensure its long term viability as it struggles to survive within a sea of mainstream, corporate competitiveness. The dramatic growth of the RMA was both heartwarming and overwhelming at the same time and on any given day I seem to work time and half just keeping up with the day to day calls and emails. What's become apparent over the past few months is not only have roots music artists embraced the idea of an international, multi-genre trade organization but all facets of the music industry and consumers have as well, which means I have very little free time on my hands these days. I consider that a very good thing.

Over the past few years in particular with the growth and natural development of the online broadcasting industry, roots music has found a home and in turn has seen a surge in its popularity, its exposure and its impact.

Sadly on May 15th we may once again lose what took us so many years to rediscover and recreate - a vital, thriving independent music scene that places value on creativity, innovativeness and originality. A place where music that stands out, fits in; a place where genres aren't segregated to one end of the dial or time slot but are played alongside of each other 24/7; a place where music's natural diversity is a strength not a barrier; a place where the playing field is level, welcoming and accessible for everyone.

Internet radio has opened up a world of new music to consumers who have in turn embraced it, supported it and made it once again financially viable, socially relevant and significantly accessible. Contrary to SoundExchange's insistence that the internet is taking away from artists what is rightfully theirs, it in reality has given it back - because what is justly inherent is music’s right to be heard, an artist’s right to have it heard, and the consumer's right to hear it.

The Roots Music Association is in no way asserting that any assignment of royalty fees are not applicable. Artists deserve to be compensated for their music but how can any royalty fees be paid if the proposed fees put stations out of business and the music is no longer played? Its elementary school math: less stations + less spins = less royalties. How can artists be paid if the only music being played by internet broadcasters after May 15th is that which was brokered by special deals made directly between the stations and labels, leaving the artists once again out of the equation and decision making?

The RMA strongly believes in making the roots music industry a viable one, for all. We believe in making the industry a fairer one, for all. We believe in making the promotional opportunities for artists to be diverse and affordable, for all.

So, here we are anxiously waiting for the calendar to turn to May 15th - a usually innoxiously benign date sitting in the midst of 364 others. I took a quick look at 'this date in history' and found the most interesting things to ever happened on that date were in 1902 when Portugal went bankrupt and in 1908 when Claude Monet decided to destroy some of his paintings because he decided they weren't "good enough."

Now - personally, I wasn't there in 1902 to give Portugal sound financial advice such as 'a penny saved, is a penny earned' and I also wasn't there in 1908 to beg Claude Monet to stop in his tracks and rethink his rampage, but I am here in 2007 and I am going to make sure I let the US Congress know that if they don't act now they are about to allow a broad based massacre of a thriving industry that has benefited many for the financial self interest of a few.

It is the independent music industry that made the internet broadcasting industry a success so early in its infancy. It's the independent artists, labels and its consumers that have supported the online stations that have helped the roots music industry's existence thrive and it's the very same group of people that need to be speaking up to have it continue. We need to send a message loud and clear to Congress that we demand the right to have choices, and that includes the choice of an artist to promote their music via online broadcasts with royalty rates accessed that are fair and equitable and that are designed to support all sectors of this industry, not annihilate it with one sweeping blow.

Don't let May 15th be marked by the sound of silence. Make your voice heard today.

Laurie Joulie Serves as Director of the Roots Music Association
posted by savenetradio  # 9:55 AM

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