The Recording Academy, said that “the majority of recording academy artists are middle class,” and that “it’s hardly fair” to force performers to sell their music at artificially low rates. Jam criticized Pandora for offering musicians a “tenth of a penny” for a song play, which amounts to just $4 of royalty revenue for about a year’s worth of music, assuming users average 20 hours of listening a month. “That is less than some people in this room spent for coffee this morning,” noted Michael Huppe, president of SoundExchange. Huppe says only half of that $4 goes to directly to artists.
It’s really very hard to quantize the value of something like music, specifically a single song, for the mass market. If that wasn’t hard enough, it gets worse by adding in the additional layers of ownership on a physical medium and ownership in the sense of on-demand. So? I write, sing and produce a song. How do I know how much that costs me? How do I know much it needs to cost you to listen to it?
I’m all for equalizing any rights airwave-radio stations have to Internet (and likewise), though in any case, artificially low rates are not the answer.