Re: Clear Channel ends streaming broadcasts ... please explain

["Brian Vita" <brian_vita@cssinc.com>]

> I have always been a little confused about this issue. Can someone help me
a
> little? ...
> However, it was my understanding that if a radio station pays the annual
fee
> to BMI, they can broadcast BMI songs over the airwaves. So, why can't they
> broadcast on the Web?

The reason is that the BMI license is for radio broadcast.  The greedy SOB's
at
BMI and ASCAP want to treat each medium separately.  Webstreaming is a
different medium
to them therefore it represents a different possible revenue stream.

To illustrate how ridiculous it can be, we were in negotiations with a major
background
music provider to act as an agent for their product.  When you sign a
contract as an end user
with one of these companies, their master ASCAP/BMI/etc. licenses cover your
establishments.
As you may surmise from my signature, my company primarily deals with movie
theatres.  We
were told by their legal dept that their license would be fine for music in
theatre lobbies but that we
would have to provide a separate license if the (preshow) music came from
behind a movie screen.

Another point with these folks is that the license fee seems to be set by
what the rep thinks they
can milk from the "mark", er, client.  Some venues are paying $20/year, some
$200, some are told $2000.
The prices are not necessarily a function of traffic in the theatre or
location.  If I had to venture a guess,
the rep keeps a percentage of whatever they bag from the client.

> At WMFO, we pay the fee annually and streamline as well. No one has said
> jack to us.

Watch you back, they'll find you and want a big chunk retroactively.

Brian Vita, President
Cinema Service & Supply, Inc.
75 Walnut St.
Peabody, MA  01960-5626 USA
(800)231-8849/Fax (800)329-2775
+1-978-538-7575/Fax +1-978-538-7550
sales@cssinc.com/www.cssinc.com