It’s a sad day for Pandora users in the UK. In another victory for stupidity, the powers that be just couldn’t come to an agreement with Pandora on a sensible royalty rate for the UK. So, what happens? people that are delighted to pay for their music may be forced into seeking other “channels” to obtain it. Here’s the email from Pandora that several people on our mailing list have just received [Thanks Tim H].
“hi, it’s Tim,
This is an email I hoped I would never have to send.
As you probably know, in July of 2007 we had to block usage of Pandora outside the U.S. because of the lack of a viable license structure for Internet radio streaming in other countries. It was a horrible day. We did however hold out some hope that a option might exist for the UK, so we left it unblocked as we worked diligently with the rights organizations to discuss an economically workable license fee. After over a year of trying, this has verified impossible. Both the PPL (which represents the record labels) and the MCPS/PRS alliance (which represents music publishers) have demanded per track performance minima rates which are far too high to allow ad supported radio to operate and so, hugely disappointing and depressing to us as it is, we have to block the last territory outside of the US.
Based upon the IP address from which you recently checked out Pandora, it appears that you are listening from the UK. If you are, in fact, listening from the US, please contact Pandora Support: pandora-support@pandora.com.
It continues to astound me and the rest of the team here that the industry is not working a lot more constructively to support the growth of services that introduce listeners to new music and that are absolutely supportive of paying fair royalties to the creators of music. I don’t typically say such things, but the course being charted by the labels and publishers and their representative organizations is nothing short of dreadful for artists whom they purport to represent – and by that I indicate both well known and indie artists. The only consequence of failing to support companies like Pandora that are attempting to build a sustainable radio service for the future will be the continued explosion of piracy, the continued constriction of opportunities for working musicians, and a worsening drought of new music for fans. As a former working musician myself, I find it very troubling.
We have been told to sign these absolutely unworkable license rates or switch off, non-negotiable…so that is what we are doing. Streaming illegally is just not in our DNA, and we have to take the dangers of legal action seriously. Lest you think this is solely an international problem, you must know that we are also battling for our survival here in the US, in the face of a crushing increase in web radio royalty rates, which if left unchanged, would indicate the end of Pandora.
We know what an epicenter of musical creativity and fan support the UK has always been, which makes the prospect of not being able to launch there and having to block our first listeners all the a lot more upsetting for us.
We know there is a lot of support from listeners and artists in the UK for Pandora and remain hopeful that at some point we’ll get beyond this. We’re going to keep battling for a fair and workable rate structure that will allow us to bring Pandora back to you. We’ll be sure to let you know if Pandora becomes available in the UK. There may well come a day when we need to make a direct appeal for your support to step for governmental intervention as we have in the US. In the meantime, we have no choice but to turn off service to the UK.
Pandora will stop streaming to the UK as of January 15th, 2008.
Again, on behalf of all of us at Pandora, I’m very, very sorry.
-Tim Westergren
(Pandora founder)”
www.pandora.com
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