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Statement on SDARS III Rate Proceeding Regarding SiriusXM

15 December 2017

Washington, D.C. (December 15, 2017) –The Copyright Royalty Board has issued its decision on the determination of rates for Sirius XM’s satellite radio service, as well as for the cable and satellite television music services provided by Music Choice and Muzak, from 2018 through 2022. The following is a statement from musicFIRST Executive Director Chris Israel on the decision.

The rate SiriusXM will pay artists may have changed but the facts surrounding the company’s sweetheart deal have not. This decision virtually guarantees the company will pay an unfair, below-market royalty rate for the music that it plays well into the future.

“SiriusXM has now benefited from a below-market rate at the expense of music creators for nearly two decades, during which time they have merged with their only competitor, taken total control of the satellite market and dragged legacy artists through the courts rather than pay them what they deserve. 

“It’s time our laws value music the same regardless of how we listen to it. Congress has such an opportunity by passing the ‘Fair Play Fair Pay Act.’ Under the legislation, all forms of radio, regardless of the technology or platform used, would pay a fair market value for music performances. The legislation would end SiriusXM’s below-market rate and apply the free market ‘willing buyer, willing seller’ standard across all platforms. The legislation would also restore fairness for pre-72 recordings and end AM/FM radio broadcasters’ special treatment by requiring them to fairly compensate music creators.”

 

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