Internet Radio is about to die and the murderous hand has a known face: the RIAA.
The powerful association of American record companies that has instructed and won a trial against Napster that is actively cultivating the same procedures against more or less famous imitators, has in fact obtained that the United States Congress approves a law that imposes a very high tax on the shoulders of the stations who use the Internet to spread their music, a sort of tax capable of strangling the small realities that use the net often broadcasting niche programs.
The law, which will come into force on October 10th, foresees costs that are unlikely to be incurred by Internet Radio and which seems to have been specifically designed to close them. The congress does not establish, in fact, a percentage tax on income as it does for over the air radios, but a fixed (very high) cost for each listener. The result that must be paid regardless of the collection and that most radios for the mechanism of the Internet and for the scarcity of advertising, accounts in hand, will have to pay much more than they earn.
But why did Congress decide to enact this law and in this form? Do Internet Radios Really Hurt Music? If for Napster and its clones the RIAA had more than one reason to fight his battle, in this case the fury seems very little understandable. ‘Rip’ music from complicated Internet radio and often poor quality. Indeed, according to some, the transmission of music via the Internet works as a 'promo' for musicians.
The law, according to an account made by Kurt Anderson and director of the magazine Rain: Radio and Internet Newsletter, as well as author of the Save Internet Radio site, could lead to the disappearance of 50,000 radios, small and large.