Online radio stations, Webcasters, and record labels have reached a new agreement with royalty clearinghouse SoundExchange that resolves the long-festering dispute regarding royalties to be paid for streaming Internet radio. The agreement is based on an experimental formula that has “pureplay” Webcasters paying up to 25 percent of their revenues to artists and rights owners, depending on the size of their operations. To be eligible for discounted rates, Webcasters agree to comply with more stringent reporting requirements.
