ASCAP, Pandora Face Off In Court
January 22, 2014

The American Society of Composers, Authors and Publishers (ASCAP) began its face off with Pandora Music Inc. in federal court on Tuesday (1/21) to determine how much money the online radio giant should pay ASCAP for the use of its compositions. According to the Wall Street Journal, Pandora currently pays 4.3 percent of its revenue to publishers and songwriters that are represented by ASCAP, as well as other similar organizations, while record labels and performers receive nearly half of the company's revenue. An initial agreement between the two sides expired in 2010, and since then, Pandora and ASCAP have been licensing music on a temporary basis. However, Pandora filed a lawsuit in November 2012, seeking to have a court renegotiate the deal. Pandora's argument is that terrestrial radio stations are not required to pay record companies for song use, hence, why should online radio have to? Conversely, ASCAP lawyers are arguing that licensed music means more to Pandora than to terrestrial radio since Pandora lacks sports and talk programs, and also plays fewer ads, according to the WSJ.

Yesterday, WSJ's
Jason Bellini spoke to NPR's Here & Now program about the possible ramifications from the case. He noted that a decision in Pandora's favor could be harmful to ASCAP, since some publishers may drop out of the society if they don't like the terms of the new deal.

"What could be a really big mess for [Pandora] is actually if they win, because then you've got these composers and the songwriters saying, 'We may just pull out of ASCAP and say, forget it. We'll figure out our own deal, but we're not going to except the rate that we're getting paid,'" Bellini said on the show. "If that happens, then Pandora may have to reconsider everything, make deals with a different organization. It could be a really big mess for them."




 
Breaking News
Pandora AMP Allows For "Large Scale" Artist Analytics
Spanish Broadcasting System Names Eric Garcia Radio Revenue Chief, GM, New York Market
The Conclave To Honor Ginny Morris With The Rockwell Award
In Brief - October 22, 2014
October 21, 2014
Report: Ron Fair Departs Virgin Records
Adobe, Nielsen To Create Comprehensive Measurement Platform For Digital Content
DMR/Interactive Names Doug Smith VP/Marketing Strategy
Triton Digital's August 2014 Ranker: Major News Events Show Impact On Top 20 Streaming Audio Markets
October 20, 2014
iHeartMedia San Francisco Names Mark Adams PD of KYLD & KIOI
Premiere Networks Promotes Claudine Cazian To VP/Programming & Branded Entertainment
Entercom Names Carlos Lamadrid VP/National Sales, Strategic Partnerships
Pandora Hires Steve Bené As General Counsel
In Brief - October 20, 2014
October 17, 2014
In Brief - October 17, 2014
The Week In Review: 10/13-10/17
October 16, 2014
Michael Jordan Named PD At WAMZ
Dan Chertoff Named VP, A&R, RCA Records
Greater Media Chairman, CEO Peter Smyth Named Among The 2014 Giants of Broadcasting
Joe Cuello Joins TuneCore As Chief Creative Officer
Clip Interactive Reports Milestones In Revenue, MAUs, Engagement For Radio Station Partners
iHeartMedia Wins Gold Award At Healthcare Marketing IMPACT Awards
In Brief - October 16, 2014
October 15, 2014
Gayle Troberman Named iHeartMedia EVP And Chief Marketing Officer
John Geary Appointed Market President For iHeartMedia Sacramento
Sun & Fun Media Partners With Premiere Networks For Ad Sales
Music News
Florida Georgia Line, Bob Seger Lead Sales Chart
Quick Hits: Taylor Swift, Foo Fighters, Gwen Stefani, Cold War Kids
Charli XCX, Haim and More Contribute to Hunger Games
Quick Hits: Meghan Trainor, Smashing Pumpkins, Milky Chance
U2 Sits Down For Intimate Radio Special
Quick Hits: Coldplay, Gwen Stefani, Foo Fighters, Dropkick Murphys, Madisen Ward and the Mama Bear
One Direction Reveal Four Tracklist
The Week In Review: 10/13-10/17
Quick Hits: Iggy Azalea, U2, Snoop Dogg / Pharrell, iHeartRadio Fiesta Latina
Pitbull Goes Global In November
Quick Hits: Sam Smith, MTV EMAs, Songwriters Hall of Fame, The Pixies, Fall Out Boy, Bonnaroo
Jason Aldean, Hozier Top Album Sales Chart
Quick Hits: Foo Fighters, Prince, Ariana Grande
Taylor Swift Taps Into the '80s For "Out Of The Woods"
Quick Hits: One Direction, Christina Aguilera / The Voice, Jack White, Kelly Clarkson, T.I., Wilco
FMQB NOW

Chris P, PD
KRQQ & KMIY/Tucson

Advertisement:
Search FMQB.com
Advertisements:
FMQB Member Login
Email:
Pass:

Save
Not a member yet?
Sign up Now!
Sign Up for Breaking News!
Enter FMQB E-Tracking!