royalties

Amazon ups author royalty for Kindle, matching Apple

In what may be a pre-emptive strike against the strong possibility that Apple will reveal a slate-style device on January 27, Amazon has said it will up the royalty for authors and publishers who use the Kindle Digital Text Platform (DTP) to 70 percent of the list price of their e-books. That's a big jump from its current 35 percent royalty rate and not coincidentally, the same number Apple doles out to developers who sell their apps in Apple's App Store.

Starting on June 30, Amazon says that for each Kindle book sold, authors and publishers who select the new 70 percent royalty option will receive 70 percent of the list price, minus delivery costs. This new option will be in addition to and will not replace the existing DTP standard royalty option, which is set at a 65-35 split, with 65 percent going to Amazon.

Amazon didn't have any comment about whether the new pricing was a response to Apple's royalty program for its App Store, which offers thousands of e-books as self-contained apps along with e-reader apps from Amazon (Kindle for iPhone, Stanza), Barnes & Noble, and other e-book stores. But it did say that delivery costs will be based on file size and pricing will be 15 cents per megabyte.

"At today's median DTP file size of 368KB, delivery costs would be less than $0.06 per unit sold," the news release notes. "This new program can thus enable authors and publishers to make more money on every sale. For example, on an $8.99 book an author would make $3.15 with the standard option, and $6.25 with the new 70 percent option."

The announcement also sets some parameters around the 70 percent royalty option. To qualify, books must satisfy the following set of requirements: … Read more

Economics dooming free streaming sites?

For the last year or so, it's become clear that the economics of ad-supported streaming music services are not good for their creators or investors. As CNET's Greg Sandoval reported last week, the acquisition of streaming service Imeem by MySpace Music for pennies on the dollar is the latest bad news for the sector, following the bankruptcies of SpiralFrog and Ruckus and the similar fire sale of iLike to MySpace.

Who's left? In the U.S., we've still got LaLa, which has the blessing of the major labels and seems to be enjoying dramatically increased traffic (… Read more

BOL 1065: HP is full of stupid

The new DreamScreen tablet from HP looks like what everyone wants from Apple at first glance. Until we dig deeper and find out it may be what nobody wants. The music publishers also seem like they're full of stupid too wanting to get a performance right for you watching a TV show alone in your room. And Cooley and I get in a knock-down over Kurt Cobain's proper presentation in Guitar Hero.

Subscribe with iTunes (audio) Subscribe with iTunes (video) Subscribe with RSS (audio) Subscribe with RSS (video) EPISODE 1065

Music publishers want more $$ for downloads, movies, and … Read more

Radiohead, Billy Bragg join fray against YouTube

Update 6:30 p.m.: To include insight on from industry sources.

The fight between YouTube and a U.K. music royalties group appears to be heating up as Radiohead, Billy Bragg, and Robbie Williams have come out against YouTube.

Williams, KT Tunstall, and the members of the rock band Radiohead will meet Wednesday with other marquee music performers to protest "at how badly they are treated by record companies and music streaming Web sites like YouTube," according to a report in the Times Online, a U.K. publication. The artists will gather as part of a newly … Read more

Former Eminem producers lose royalty decision

The case brought by rapper Eminem's former production company against Universal Music Group could have handed music artists a larger share of digital sales.

But a federal jury voted unanimously in favor of Universal Music and other defendants in the case, including rapper-producer Dr. Dre's record label, Aftermath Records, according to an Associated Press report.

Richard Busch, lawyer for plaintiff F.B.T. Productions told the AP that his clients--brothers Mark and Jeff Bass--were disappointed and were considering an appeal.

At the core of the case was F.B.T.'s argument that digital albums were different than … Read more

Google receives a visit from the queen

Britain's Queen Elizabeth II joined the Web 2.0 generation on Thursday when she uploaded a clip to YouTube for the first time.

The monarch took the leap into the wired world as she and her husband, the Duke of Edinburgh, were shown around Google's London headquarters, which are located down the road from Buckingham Palace. Editors' note: This story was originally published on Silicon.com as a photo gallery. Click here to see all the images.)

Joining the ranks of teenage narcissists worldwide, the queen posted her YouTube video, a 1968 reception for British Olympians, to the … Read more

Buzz Out Loud 823: Sad trombone

Whence comes the sad trombone, and other questions of great worldly importance dominate today's discussions, but there is, in fact, other technology news today. For example, Steve Jobs is OK, but citizen journalism may not be; iTunes isn't going to have to shut down after all (but copyright pricing remains outrageously stupid); and Microsoft extends the life of the Windows XP loophole...presumably all the way to Windows 7's doorstep. Listen now: Download today's podcast EPISODE 823

Steve Jobs heart attack… not http://news.cnet.com/8301-13579_3-10057521-37.html

Music publishers keep same download rate, Apple keeping … Read more

Royalty rate doesn't change for Apple, music retailers

The Copyright Royalty Board on Thursday froze the rate that digital-music stores such as iTunes and RealNetworks' Rhapsody must pay music publishers.

The three-member board that sets statutory copyright licenses e-mailed the Digital Media Association (DiMA), the National Music Publishers' Association, Apple, and other download stores with its decision to keep the royalty rate at 9.1 cents a song. The board also set the same rate for CDs and established a 24-cent rate for ringtones. The decision is the first time the board has established royalty rates for digital downloads. The rates are set for the next five years. … Read more

Pandora, Webcasting see victory in Senate

The U.S. Senate on Tuesday afternoon passed the Webcaster Settlement Act, the legislation that lays the groundwork for Web radio stations to negotiate reduced royalty rates for the songs they stream over the Web.

The bill passed through the House of Representatives on Saturday and is now headed to the White House, where President Bush is expected to sign it.

"I'm relieved, optimistic, and grateful to our listeners," said Tim Westergren, founder of Pandora, a Web radio station and music-suggestion engine.

Webcasters have long complained that the royalty rate to stream music is too high for … Read more

Would Apple really shutter iTunes? Unlikely

Apple did indeed say that if it couldn't make a profit, it "most likely" will not continue to operate iTunes. You can find a copy of the statement here on page 4 (PDF).

Fortune magazine published a bombshell of a story on Tuesday by reporting that Apple once threatened to close iTunes if forced to pay more for music royalties. A more careful reading of the statement from an Apple executive shows that it was more of a veiled threat. Regardless, it's possible Apple could shut down iTunes.

But is it likely? No. Here's why: … Read more