[Fmpro] Judge Sets ASCAP Streaming Fees

[Michael S Patterson]

I am very happy to see "other content that includes music"
I hope that wording is in the decision and that it covers video.

Hopefully we will see similar decisions made with the networks
and YouTube! 

Michael




On 5/1/08 12:15 PM, "Christopher Alpiar" <chris at alpiar.com> wrote:

> from Billboard today
> 
> Judge Sets ASCAP Streaming Fees
> May 01, 2008 - Publishing
> 
> By Susan Butler, N.Y.
> 
> License fees that AOL, RealNetworks and Yahoo! must pay to ASCAP for
> streaming music of the performing rights organization's members have
> now been set by a federal court judge.
> 
> The three services, which are parties to a rate-setting proceeding in a
> federal District Court in New York, may obtain a non-exclusive blanket
> license from ASCAP for unlimited performances of all songs in the
> PRO's repertoire through Dec. 31, 2009.
> 
> The fee for the license is 2.5% of the service's "music-use-adjusted
> revenue."
> 
> Music-use-adjusted revenue is determined by multiplying the total
> revenue of the licensed business unit (i.e., the digital service's
> business unit that streams music or other content that includes
> music), less customary deductions for advertising sales commissions
> and traffic acquisition costs, by a music-use adjustment fraction.
> 
> That fraction is determined by using as a numerator the total number
> of hours music is streamed to users by the service (as currently
> measured by each service) and by using as a denominator the total
> number of hours of use of the service's Web site (as measured by
> comScore or other means approved by the court).
> 
> "This historic decision, for the first time, provides a clear
> framework for how the online use of musical works should be
> appropriately valued," says ASCAP CEO John LoFrumento. "This decision
> also provides clear validation of the flexibility and applicability of
> the ASCAP blanket license model relative to the use of musical works
> on the Internet - something the court itself specifically noted in its
> written decision."
> 
> The 153-page decision was made public late yesterday.
> 
> 
> 
> Christopher Kennedy Alpiar
> Cinematic Composer
> 937.294.0900 (Dayton Studio)
> 310.339.9603 (Los Angeles)
> 877.294.0912 (Toll Free)
> www.alpiar.com