Wednesday, June 05, 2002

A letter I recieved whilst on vacation ... May 24, 2002 Dear Mr. Chu: Thank you for contacting me about efforts to apply copyright royalties to music streamed over the Internet. I appreciate having the benefit of your views on this matter. Under the terms of the Digital Millennium Copyright Act of 1998, radio stations were granted the right to broadcast music over the Internet without having to compensate artists or music publishers until payment conditions could be determined by the U.S. Copyright Office. On December 11, 2000, the Copyright Office issued a final rule holding that broadcasts of this nature are subject to statutory licensing and are responsible for royalty payments to copyright owners. This decision was upheld in a U.S. District Court, and on February 20 of this year, the Copyright Office's Copyright Arbitration Royalty Panel (CARP) proposed that broadcasters pay a royalty rate of 0.14 cents per composition that is streamed over the Internet. While I am not a member of the Senate Commerce Committee, which has primary jurisdiction over this issue, you may be sure that I will keep your comments in mind should relevant legislation be considered by the full Senate. I appreciate having the opportunity to represent you in the United States Senate. Thank you for taking the time to contact me. Yours respectfully, PHIL GRAMM United States Senator me: Apparently, the initial CARP proposal was rejected as of May 21, 2002. For more info, of course, one can go here: www.saveinternetradio.org.