Small Webcasters sue giant record labels
In the Silicon Valley Business Journal.
(Thanks, Paul.)

The suit, filed by San Jose attorney Perry Narancic on behalf of the nonprofit alliance, also names RIAA members Universal Music Group Inc., Warner Music Group Inc., Bertelsmann Music Group Inc., Sony Music Entertainment Inc. and Capitol-EMI Music Inc., which together sell eight out of 10 recordings in the United States.

Webcaster Alliance's allegations stem from a 2002 agreement between RIAA and Santa Clara-based Internet portal Yahoo over royalty payments for music transmitted over the Internet. The alliance says the agreement could harm distribution of independent music that competes with RIAA material.

"The RIAA agenda is patently clear," says Ann Gabriel, president of Webcaster Alliance. "We have watched the RIAA's actions which have the effect of wiping out an entire industry of independent Webcasters who represent freedom of choice and diversity for Internet radio listeners. It is time for the RIAA to be held accountable for years of manipulating an entire industry in order to stifle the growth of independent music and control Internet content and distribution channels."

Here is the full text of the article in case the link goes bad:

http://www.bizjournals.com/sanjose/stories/2003/08/25/daily52.html

Small Webcasters sue giant record labels

Webcaster Alliance Inc., which says it represents a number of very small Webcasters, has filed an antitrust lawsuit against the Recording Industry Association of America Inc., saying the trade group's actions could drive small Internet audio streams out of business.

The suit, filed by San Jose attorney Perry Narancic on behalf of the nonprofit alliance, also names RIAA members Universal Music Group Inc., Warner Music Group Inc., Bertelsmann Music Group Inc., Sony Music Entertainment Inc. and Capitol-EMI Music Inc., which together sell eight out of 10 recordings in the United States.

Webcaster Alliance's allegations stem from a 2002 agreement between RIAA and Santa Clara-based Internet portal Yahoo over royalty payments for music transmitted over the Internet. The alliance says the agreement could harm distribution of independent music that competes with RIAA material.

"The RIAA agenda is patently clear," says Ann Gabriel, president of Webcaster Alliance. "We have watched the RIAA's actions which have the effect of wiping out an entire industry of independent Webcasters who represent freedom of choice and diversity for Internet radio listeners. It is time for the RIAA to be held accountable for years of manipulating an entire industry in order to stifle the growth of independent music and control Internet content and distribution channels."

The RIAA says the federal suit is groundless.