Beasley latest radio group to swap on-air royalty for streaming discount with Big Machine

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Issue Date: 
Feb 5 2013 - 1:20pm

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Beasley Broadcasting is reportedly the latest radio group to ink a deal with Big Machine Label Group to soften streaming royalties in exchange for a small on-air royalty for the group's sound recordings.

Like other broadcasters such as Clear Channel and Entercom, Beasley will pay Big Machine a percentage of revenue from on-air ads to play artists like Taylor Swift, Tim McGraw, Rascal Flatts and Reba. In exchange, Big Machine will "allow digital simulcasts of the over-the-air signals by Beasley Broadcast to scale affordably to support the growth of Beasley's digital platform." (In other words, reduced streaming royalties.)

Industry attorney David Oxenford recently suggested deals like this may have an effect favorable to webcasters in upcoming royalty rate determinations: "The pro-record company outcome of the CRB proceedings may well be changed if these deals can be shown to be representative of the real value of the public performance of the sound recording." (Read more in RAIN here)

Read more on Beasley and Big Machine from RadioInfo.com here.

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