I have worked in a few businesses where the business owners have had to install satellite radio systems because they said they were required to pay fees to play terrestrial broadcast radio. These have been diners, salons, etc..

I've tried to research this on the internet but can't find any info. Thought I'd ask here to see if it's true..

Thanks

Maybe they are talking about satrad fees being cheaper than Muzak fees and decoder costs?

You can't rebroadcast media for a profit but would the FCC really crack down on my local Diner for playing a local FM station? (or my local bar that always has a ballgame on)

ASCAP and BMI both go business to business and charge fines for not paying royalty fees. Satellite radio is not excluded from this practice. That is why Sirius/XM has subscription plans for businesses.

If you play any music as a part of your business, including lobbies, elevators, etc. You will get letters from BMI, SESAC & ASCAP demanding royalties each year. Doesn't matter if it's from a jukebox, cd changer, DJ, or radio. It's not FCC enforcement. The artist associations will take you to court for royalties if you refuse to pay.

People go with Muzak, or Sirius because they usually supply the equipment (receiver, wiring, etc) and your monthly fee includes royalty payments.

You don't get commercials like from terrestrial radio, or have to purchase new cds like for a jukebox or cd changer.

At the hotel where I work we have both arrangements. We pay the royalties & have muzak installed in some of our public spaces. We pay the royalties because we will have musicians or DJs playing on-site for some of our events.

Sesac is notorious for sending bulk letters without investigating whether a business has infringed. They just check your business classification and send you a letter demanding payment.

the lounge i used to DJ at, a real hole in the wall in a suburb of LA, recently got cracked down by ASCAP for not ponying up fees to broadcast all the music i was playing. don't know how much it is, but it's NOT cheap--it really adds up.

the lounge i used to DJ at, a real hole in the wall in a suburb of LA, recently got cracked down by ASCAP for not ponying up fees to broadcast all the music i was playing. don't know how much it is, but it's NOT cheap--it really adds up.
It is a fact, businesses must pay to play ANYTHING. It is a ripoff but it's been that way for years. One of my family members has a retail car stereo business. To demo units, he tells his potential customers to bring in their own music source.

I was in a Potbelly's Sub Shop yesterday, and they were playing some Skynyrd muzak. It sounded over-compressed as he!! and like utter garbage - every bit as bad as XM/Sirius these days. So I can see someone who is trying to sell equipment that plays music telling people to bring in their own music - it's bound to sound a heck of a lot better and make more sales.

If the muzak produced more profitable results, I'd bet he'd be more than happy to pay for it.

I mean, you go in a higher-end audio shop of any sorts, and you never hear them piping in that kind of cr*p to show off their systems, do you? They always keep a selection of great-sounding CD's on hand, and tell you to bring in your own stuff to demo with. They ain't stupid. I'll bet if you prod your family member enough, they'll admit to that tactic, too - if they have any business acumen.

I was in a Potbelly's Sub Shop yesterday, and they were playing some Skynyrd muzak. It sounded over-compressed as he!! and like utter garbage - every bit as bad as XM/Sirius these days. So I can see someone who is trying to sell equipment that plays music telling people to bring in their own music - it's bound to sound a heck of a lot better and make more sales.

If the muzak produced more profitable results, I'd bet he'd be more than happy to pay for it.

I mean, you go in a higher-end audio shop of any sorts, and you never hear them piping in that kind of cr*p to show off their systems, do you? They always keep a selection of great-sounding CD's on hand, and tell you to bring in your own stuff to demo with. They ain't stupid. I'll bet if you prod your family member enough, they'll admit to that tactic, too - if they have any business acumen.
I'll bet if you prod your family member enough, they'll admit to that tactic, too - if they have any business acumen.
Yes, that and being very headstrong on certain issues. He does tell them that all types of music are different so they should play (test) what they really like.