The Pandora Internet Radio
service might have to pull the plug because of the royalty fees.
Apparently this year the royalty fees will cost Pandora
70% of its projected $25m in revenue. This kind of cost would kill almost any business
Pandora has about 1 million subscribers. The service is rather unique as it allows listeners to automatically create their own personalized radio
The Washington Post
has a good article on the stand off between SoundExchange
and the music
Eventually there needs to be a solution that allows online radio to run profitable unless the big media
companies follow a strategy to be the only ones left to offer online radio. TechCrunch
has a story titled "Perhaps Pandora Must Be Our Sacrificial Lamb". I hope it rather hits other webcasters that are less innovative than Pandora.
Visit also the Pandora site
if you have not used them yet.