XM Royalty Fee???

xiven · 06-25-2009, 03:36 PM

Not sure if you guys got this or not. I just received an email about the rate increase.

"Thank you for being an XM subscriber. We are dedicated to providing our subscribers with the best programming and listener experience available on radio today. As part of this commitment, we have an important update regarding your XM subscription.

Music royalty rights were established by the U.S. Congress as part of the Copyright Act. This Act requires payment of copyright music royalties to recording artists, musicians and recording companies who hold copyrights in sound recordings.

These royalties have recently increased dramatically, principally as a result of a decision made by the Copyright Royalty Board, which is designated by the Library of Congress to set royalty rates for sound recordings. Beginning on July 29, 2009, a “U.S. Music Royalty Fee” of $1.98/month* for primary subscriptions and $.97/month* for multi-receiver subscriptions will be effective upon your next renewal. This fee will be used directly to offset increased payments from XM to the recording industry.

Unfortunately, we cannot control the Copyright Royalty Board's rate increase, but we can offer you ways to save on your subscription. The longer your subscription, the more you save!"

Why do we the subscriber have to pay this? I don't even think this should even exist. Its not like OTA radio is going to charge for this since its FREE. Doesn't make sense. Sounds like just an excuse to charge more. Oh well, its still better than OTA radio even though you have to pay for it.

06-25-2009, 03:36 PM	#1 (permalink)
xiven A True Z Fanatic Join Date: Jun 2009 Location: Atlanta Age: 44 Posts: 4,128 Drives: Cookie Monster Rep Power: 294	XM Royalty Fee??? Not sure if you guys got this or not. I just received an email about the rate increase. "Thank you for being an XM subscriber. We are dedicated to providing our subscribers with the best programming and listener experience available on radio today. As part of this commitment, we have an important update regarding your XM subscription. Music royalty rights were established by the U.S. Congress as part of the Copyright Act. This Act requires payment of copyright music royalties to recording artists, musicians and recording companies who hold copyrights in sound recordings. These royalties have recently increased dramatically, principally as a result of a decision made by the Copyright Royalty Board, which is designated by the Library of Congress to set royalty rates for sound recordings. Beginning on July 29, 2009, a “U.S. Music Royalty Fee” of $1.98/month* for primary subscriptions and $.97/month* for multi-receiver subscriptions will be effective upon your next renewal. This fee will be used directly to offset increased payments from XM to the recording industry. Unfortunately, we cannot control the Copyright Royalty Board's rate increase, but we can offer you ways to save on your subscription. The longer your subscription, the more you save!" Why do we the subscriber have to pay this? I don't even think this should even exist. Its not like OTA radio is going to charge for this since its FREE. Doesn't make sense. Sounds like just an excuse to charge more. Oh well, its still better than OTA radio even though you have to pay for it.