BMI signals Net radio stop gap

Music performance rights group Broadcast Music Inc. has outlined a temporary license arrangement for radio stations to stream programming over the Internet.

Under the agreement, radio stations are required to pay 1.605 percent of their Internet streaming revenue to BMI, the same interim rate that stations must pay for broadcasting songs over the airwaves. Stations will also be required to pay BMI a percentage of the online streaming revenue they have made since 1997.

The license is a temporary measure between BMI and the Radio Music License Committee (RMLC), which represents 1,800 radio stations across the United States. The two groups are in court to decide the final rate. --Jim Hu, Special to ZDNet News