2012 – Agreement on Royalty rates for Digital music reached on This Day in Rock Music History!
The Music Industry’s largest trade groupd agreed on rates for licensing music to online services such as iTunes and Rhapsody.
The internet has diverted 50% of all music sales. This agreement will introduce 5 new kinds of digital music models for businesses.
Lee Knife, Executive Director of the Digital Media Association (DiMA) is quoted as saying, “From the advent of internet radio services, to online music stores, on-demand streaming and more recently, cloud-based music services, digital media providers thrive on creating new ways for fans to enjoy more music whenever and wherever they want, Today’s agreement paves the way for our members to continue developing exciting new business models that satisfy consumers, create greater revenue opportunities for music creators and effectively fight piracy, the music industry’s greatest threat.”
“This is a historic agreement that reflects our mission to make it easier for digital music services to launch cutting-edge business models and streamline the licensing process,” Cary Sherman, Chairman and CEO of the RIAA, said in a statement.