New Royalty Rates = A Price Increase At Sirius…

(Weekend Edition)

To offset the new increase in music royalty fees imposed by the Copyright Royalty Board, Sirius XM will be passing those costs on to subscribers starting next month.  CNET News reports that a letter to Sirius XM customers penned by Sirius CEO Joe Zarella states that “beginning on July 29, 2009, a ‘U.S. Music Royalty Fee’ of $1.98 per month for primary subscriptions and $.97 per month for multi-receiver subscriptions will be effective” the next time they renew their subscription.  Sirius subscribers become the latest victim of royalty rates which have risen steadily since 2007 when the CRB established performance royalty rates for satellite radio.  The rate jumped from 6 (%) percent last year to 6.5 (%) percent this year and it doesn’t end there.  There will be an increase every year until 2012, when the rate tops out at 8 (%) percent.  You just know that a new deal cut in 2012 will contain a higher percentage than 8 (%) percent for the first year.  What will that top out at ???

Sirius and XM promised the Federal Communications Commission they would not raise rates as a condition of the companies’ merger but the FCC did allow them to issue rate hikes to account for any increase in royalty costs.  Sirius states to their subscribers that satellite radio providers are being charged fees that traditional radio stations aren’t required to pay.  Not yet.  “Unlike terrestrial radio, both Sirius and XM are required to pay copyright music royalties to recording artists, musicians and recording companies who hold copyrights in sound recordings” says Sirius XM…

If Congress gets its way and passes the Performance Rights Act, terrestrial radio stations won’t be able to offset the fees by raising their rates, will they ???

10 Timeline Memories:

1. 1916] Numbers: In a game against the White Sox, the Cleveland Indians appear on the field with numbers on their sleeves. It marked the 1st time players were identified by numbers corresponding to the scorecard (6/26)…
2. 1919] Debuted on this date: The New York Daily News publishes for the first time and it’s still here (6/26)…1981] “For Your Eyes Only” premieres starring Roger Moore as James Bond. Sheena Easton has a hit with the theme (6/26)…1987] “Dragnet” premieres starring Dan Aykroyd as Sgt. Joe Friday. Christopher Plummer, Dabney Coleman, Harry Morgan and Tom Hanks also star (6/26)…
3. 1959] And the winner and new champ: Ingemar Johansson of Sweden knocks down heavyweight champ Floyd Patterson7 times in the 3rd round to win the title on a TKO. One year later, Patterson becomes the 1st heavyweight to regain the title when he beats Johansson (6/26)…
4. 1959] Curtains: The legendary Edward R. Murrow interviews Lee Remick on “Person to Person“. It’s his 500th and final guest on the CBS-TV show (6/26). Here’s an earlier interview of Sophia Loren…1977] Elvis Presley plays his final concert at the Market Square Arena in Indianapolis (6/26). 51-days later, Elvis would be dead…
5. 1962] Oh-no: Earl Wilson of the Red Sox pitches a 2-0 no-hitter against the Los Angeles Angels at Fenway Park. Wilson helps his own cause by hitting a home run in the game (6/26)…
6. 1963] JFK goes to the Wall: The President visits the Berlin Wall and gives his famous “Ich bin ein Berliner” speech (6/26)…
7. 1974] “D-I-V-O-R-C-E”: Richard Burton becomes divorce victim #5 for Elizabeth Taylor. He was also victim #4 after their 1st marriage (6/26)…1975] Cher divorces Sonny Bono after the pair had been together since meeting in 1962 (6/26)…
8. 1975] ‘Happy Trails’: Rod Serling dies after open-heart surgery at 50 (6/28). I met Serling at LAX in the early 70s and he told me about selling his rights to “The Twilight Zone” for $1 million. He was taping “Night Gallery” and we got into a conversation about radio, his training grounds. Several months later there was a NG episode about a disc jockey (Mickey Rooney) who sells his soul to the devil. I always wondered if our talk may have inspired Serling to write that episode…2001] Legendary actor Jack Lemmon dies from cancer at 76 (6/27)…2002] The Who’s John Entwistle dies from a cocaine-induced heart attack at 57 (6/27)…
9. 1988] A time for joy, a time for tears: Proving it’s never too late to get your diploma, Cyndi Lauper (Richmond Hills High) and Debbie Gibson (Merrick High) receive their high school diplomas (6/27).  Girls just wanna have fun…
10. 1997] A bite to the finish: Mike Tyson takes a bite out of Evander Holyfield’s ear and is disqualified during their heavyweight championship rematch (6/28)…

       






Music Memories:

• 1961] Number One on this date: “Quarter to Three” - Gary U.S. Bonds (6/26)…1964] “I Get Around” - Beach Boys (6/28)…1965] “Mr. Tambourine Man” - Byrds (6/26)…1966] “Strangers In The Night” - Frank Sinatra (6/27)…1981] “Bette Davis Eyes” - Kim Carnes (6/27)…
• 1964] Released on this date: “A Hard Day’s Night” LP - Beatles (6/26)…
• 1971] Closing on this date: Bill Graham’s Fillmore East starring the J. Geils Band, the Beach Boys, Allman Brothers and Mountain. The doors shut for good after the show (6/27).  This clip is from April of ‘71…

Commentary:

The best way to remember both Michael Jackson and Farrah Fawcett is by viewing these video tributes…

“Happy Birthday…happy birthday”: (6/26) Derek Jeter (35), Gretchen Wilson (36), Terri Nunn (48), Patty Smyth (52), Chris Isaak (53), Mick Jones of the Clash (54), Georgie Fame (66), Billy Davis Jr. (69) and Eleanor Parker (87)…(6/27) Tobey Maguire (34), Julia Duffy(”Newhart“) (58), Vera Wang (60), Rico Petrocelli (66), Bruce Johnston (67) and Ross Perot (79)…(6/28) Kellie Pickler (23), Kathy Bates (61), John Byner (71), Mel Brooks (83) and Raggedy Ann (92)…

Timeline Countdown: 8 days until July 4th, 19 days until the MLB All-Star Game and 29 days until the first NFL training camp (Giants) opens…

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