Legal Notes: Copyright Royalty Board Issues Decision in Rate Determination Case
The Copyright Royalty Board (CRB) on December 14 issued its decision on the determination of rates for Sirius XM’s satellite radio service, as well as for the cable and satellite television music services provided by Music Choice and Muzak, from 2018 through 2022.
The CRB increased the rates for Sirius XM by more than 40%, from 11% of revenue to 15.5% of revenue, effective January 1, 2018. Sirius XM is the only satellite radio service in the United States and reported revenues of $5 billion in 2016. By contrast, the CRB reduced the rates for Music Choice’s and Muzak’s services from 8.5% to 7.5% of revenue. SoundExchange advocated on behalf of its artists and rights owners in this rate litigation, which spanned 24 months.