New York (ip-192.com): Yahoo's Launchcast internet radio service shouldn't have to pay royalties for the songs it plays, according to a court ruling. Yahoo will only be liable to pay licensing fees to Sound Exchange, the organization that collects royalties for musicians.
Sony has lost its copyright case against Yahoo, which dates back to 2001, with a ruling in Yahoo's favor in 2007 that was appealed by Sony. The appeal court judges accepted Yahoo's argument that Launchcast didn't give users enough controls for the service to be considered interactive, the deciding factor in whether royalties were due.
Launchcast allows users to create a personalized 'radio station', playing their favorite musical genres. "This degree of control is no different from a traditional radio listener expressing a preference for a country music station over a classic rock station," so judge Richard Wesley.
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