Newberry: “They’re running out of money”
Posted on Oct 10, 2009 in News
Record companies are fighting for a performance tax on radio broadcasters because they’re “running out of money,” says National Association of Broadcasters (NAB) Chairman Steve Newberry in USA Today. ”When you start with that basis, it’s very difficult to engage in good-faith negotiations.”
“If a large station is paying hundreds of thousands of dollars a year in fees, they’re going to play the performers who are most proven to get a return on investment,” says Newberry, CEO of Commonwealth Broadcasting Corp.
Radio stations currently pay about $550 million a year to music licensing agencies that represent songwriters and music publishers. They also paid $25.2 million last year in regulatory fees to the Federal Communications Commission.
Source: USA Today
