Newsweek's Steven Levy explains how the CARP rates will probably mean the end of independent webcasting:
Labels to Net Radio: Die Now
You’d think the record companies would love Internet tunes—instead they’re trying to kill them.

The record industry, with the help of Congress and the Copyright Office, may indeed make a shakeout inevitable. But I doubt that Jim Atkinson and his fellow independent Webcasters find the prospect of their extinction terribly desirable. Nor do the 77 million Americans who have at one time tuned in to Web radio and perhaps found something not featured on the lobotomized playlists of broadcast radio. If enough of those outraged listeners stream their objections to legislators, maybe Internet radio can be saved.