Just so y’all know what’s going on with internet radio, I am reprinting, in its entirety, an email we got from Live365 a couple of days ago:
Dear Live365 Broadcasters,
You should have already received our notification and link to the press release regarding two issues that have affected Live365 in the last few weeks.
1. The CRB ruling handed down in December, 2015 did NOT renew or address the expiration of the small webcaster percentage of revenue plans. At this time there is no small webcaster options except for full CRB rates.
2. Live365’s long time investors have stopped funding us. As a result, we are no longer able to sustain our service.
We are sad that we are closing our doors at the end of this month. There are always possibilities that we can come back in one form or another, but at this point in time, January 31, 2016 is the last day that Live365’s streaming servers and website will be maintained and supported.
This is a surprise to us as it is to all of you. We are proud that Live365 was a pioneer in the streaming music business and have provided a platform to hundreds of thousands of broadcasters to have a voice over the years.
Unfortunately, we have to say good bye.
We are honored to have served your needs over the last decade and a half.
It has been a wild ride both economically, from the pre-dotcom bust days all the way through the Great Recession, as well as technologically, with internet radio going from an unknown, quirky, muddy idea to a ubiquitous technology that hundreds of millions enjoy. Sadly, Live365’s portion of the ride is ending.
Again, streaming services and website access will not be supported beyond 1/31/2016.
We have extremely limited resources with the current skeleton crew. We regret that we will not be able to respond to all of you, so we apologize in advance.
All the best,
The Live365 Team
This is an absolute disaster for small netcasters like the Appalcast Rock Channel. As an example, if we were to be lucky enough to get just 100 listeners cume, our royalty payments now would be in excess of $22,000 a year! To make a comparison, the top station in the Tri City market has a cume 100 time that, so we are looking at the equivalent of a teeny-tiny radio station having to pay out that much, just for the right to play music, before paying staff or other expenses. This is unsustainable in the long run and destroys incentive for an entrepreneur to grow.
I urge everyone to go to change.org and sign the savenetradio 3.0 petition to restore the Small Webcasters Settlement Act to allow small webcasters to exist.