Agreement begins Jan. 1, 2007.
ASCAP and XM Satellite Radio have finalized terms for their new satellite radio agreement that begins Jan. 1, 2007. Although the parties will not reveal the specific terms, they say that the royalty rates for publishers and songwriters are revenue-based and "commensurate" with their first agreement, which expires at the end of the year.
The deal, which was hammered out in less than two months, covers performances transmitted from the XM service to its subscribers.
The parties have now begun negotiating final terms on two other interim deals. One covers XM's service on DirecTV and another covers commercial background music that XM provides to commercial establishments such as restaurants, says Vincent Candilora, ASCAP senior VP and director of licensing.
The deal just completed includes XM's right to stream simulcasts of its programs over its Web site, similar to the licenses granted to broadcast radio for its sites, Candilora says.
"XM is pleased to renew our agreement, which compensates ASCAP's composers and lyricists for their important contributions," says Eric Logan, XM executive VP of programming. "We look forward to continuing our productive and mutually beneficial relationship with ASCAP and its members."