Internet radio operators and record companies in the US are gearing up for another round of negotiations over music royalties.
Operators of web radio stations and representatives of the music industry have been ordered to brief the US Copyright Office by 5 March on their efforts to achieve a compromise on royalty payments.
The Copyright Office has warned that it will resume the process of establishing the royalties that web radio stations must pay to artists and record labels if the negotiations hit a stalemate.
But web radio companies have warned that the record companies' demands could bankrupt them.
Under the Digital Millennium Copyright Act, webcasters must pay royalties to record companies and musicians on top of the royalties they already have to pay to songwriters and music publishers.
Broadcast radio stations are exempt from paying royalties to record companies and artists, and instead only have to pay the songwriter and publisher.
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