Whether or not one is making monetary gain off of web casting or not doesn't change the fact that they are broadcasting a performance of intellectual property, one of the six exclusive rights to copyright ownership. Like, bootlegging movies would not be okay if you were giving all the money to charity, because you are still taking income away from the people who deserve it and whose property you are exploiting. Remember this income from copyrights is not just going to labels, it goes to artists as well. In fact, the only reason labels get a piece is because artists AGREE to give them a piece for services the label can provide (marketing, distro, etc). No artist is never forced into signing to a label, its a voluntary decision for career betterment, that pretty much every artist would leap at if given the opportunity. There is a whole team that makes an artist what they are and what they accomplish, and while we love to glorify the people who write/play the music and condemn those who run the business side, both parts are equally relevant in making the music industry function. Without the industry side, we wouldn't have all the digital sound recording technology and CD and DVD technologies which I think we can all agree make music a better experience than scratchy old analog devices.
YES, this is of course true, however, there is another side to this equation as well, with internet radio many labels, and artists are asked to sign a waiver form that allows the internet radio station to play their music, without compensation, this is of course great for the smaller labels and artists because it brings their music to some peoples ears that would never have heard them in hopes of selling some through the links provided to sites like Amazon and others that offer the webstation "affiliation fees" or kickbacks on these click throughs and sales. These kickbacks help to keep the station running because they don't sell advertising, and the artists/label sell some discs and make a bit of money on this. These are VERY small amounts we're talking about... because let's face it, internet radio just doesn't have that many listeners for the most part, with the exception of just a few sites that do pretty well traffic wise. Most are only getting a total of perhaps a couple of hundred listeners.
If these stations are now expected to pay these fee's, they will need to close shop, or sell advertising or cave to corporate payola (which just won't happen because they don't have a good enough market share).
So in essence, the RIAA is trying to make it all even, BUT in doing so, they really are just limiting again the choices that listeners are given, and limiting the independent artists and smaller labels a venue with which to have their music played.
I as a musician, and small label owner, very much appreciate internet radio,
they have helped me to market great new music that few would hear on syndicated stations that are owned by the big 4 broadcasting companies out there that are pushing the same swill down our throats day in and day out, because they make money doing it....the big labels pay to have their bands played, this is why you hear it over and over and over again and every band sounds like the next one, same regurgitated melodies, same production, same riffs, different key, it's boring, I can't stand corporate radio anymore,
and I used to love the radio, long ago and far away, there were tunes that actually were good there, like there are now on internet radio.
I support internet radio in this fight, if the artists and the labels are willing to give them the go ahead to play their "Intellectual property" aka songs, then who the hell is the RIAA to say it's not right?
Just my two cents.