Satellite radio irks record industry

Found on CNN on Thursday, 06 October 2005
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The record industry may next aim its legal guns at satellite radio over a dispute involving new portable players that let listeners record and store songs, an analyst and industry sources said Wednesday.

The record industry, led by major labels such as Vivendi Universal, Warner Music Group Corp., EMI Group Plc and Sony BMG, believe the recording capability is a clear copyright violation and could take revenue away from paid download music services.

Illegal song trading has been blamed by the record industry for declines in sales, and labels have become increasingly aggressive in their legal battles to defend their product. Now that focus includes portable players.

"Based on recent talks with execs at record labels and the Recording Industry Association of America, we see potential spats ahead. RIAA may file a lawsuit this fall to stop a new feature for upcoming wearable satellite radios," he wrote.

Crockett said the RIAA may seek $1 billion plus in music rights fees for a new contract covering 2007 to 2012 to replace the current $80 million pact that expires in 2006.

Next on the list is webradio. Then analog radio, then music television. Then ringtones and finally you get sued if you whistle your favorite tune in the shower.