The radio industry may soon become more profitable for musicians with Congress introducing the Ask Musicians for Music Act (the AM-FM Act). If the act passes, radio stations will have to pay royalties to musicians in order to use their music on air. The legislation, if passed, will allow these artists to negotiate their own rates with broadcast companies.
The act’s introduction to Congress has been praised by various organizations such as SoundExchange, where CEO Michael Huppe says that if the new act passes it “will ensure that the people who make music have a protected property right in their own work.” Others such as RIAA (Recording Industry Association of America) CEO Mitch Glazier praised Congress for recognizing and attempting to address the “inequities in law” that artists face in the broadcast industry.
While the introduction of the act has drawn positive reactions from artists within the industry, others such as the National Broadcast Association oppose the act’s potential passing saying it “could decimate the economics of America’s hometown radio stations that have launched the careers of countless musicians.”