Is faidr licensed to stream music?
Faidr engages in very limited streaming of sound recordings and the musical works embodied in those sound recordings. But when faidr does engage in streaming that results in public performances, it does so pursuant to licenses set forth in the United States Copyright Act (for digital streaming of sound recordings) and pursuant to licenses from performing rights organizations.
How does faidr have the right to remove advertising from a broadcast transmission?
Faidr is actually not removing advertising from a broadcast transmission. Rather, faidr detects the presence of content that faidr believes is advertising, and it provides the consumer with a functionality that allows the user to avoid listening to advertising. All we are doing is giving the consumer control. Consumers can choose to listen to a broadcast as provided by a station, or they can control their listening experience by requesting that alternative programming be provided during commercial breaks. These decisions are made by the consumer and not faidr, and there is no legal obligation for a consumer to listen to a station stream without modification. In fact, consumers do this all the time when they switch to another station as soon as they hear an advertisement on the station they were listening to.
Does faidr’s activity increase a station’s liability by offering transmissions as part of a subscription offering?
Faidr does not offer radio station transmissions on a subscription basis. In fact, all radio station transmissions are available through faidr for free. When a user subscribes to faidr, what the user receives is the right to listen to other content during a station’s commercial breaks, not the station’s original transmission. Faidr does not believe this functionality given to the consumer converts a station’s non-subscription transmission into a subscription transmission.
Does faidr share subscription revenue with radio stations whose transmissions are available through faidr?
Faidr shares revenue with stations that enter into agreements with faidr. If a station chooses not to enter into an agreement with faidr, no sharing of subscription revenue will be shared with a station, even if a station’s transmissions are freely available through the faidr app.
Does faidr need a license for allowing users to record content within the faidr mobile app?
Faidr is not the entity that is choosing to make copies of sound recordings, and the musical works embodied therein, in the faidr app. Any copies are made at the direction of a user, who must elect to have the faidr app make any local copies of received content. When a user elects to time-shift broadcast content on their local device for personal use, the Supreme Court of the United States has held that such time-shifting is a fair use.
Are radio stations whose signals are made available via faidr still obligated to pay royalties to SoundExchange and the PROs?
Yes. Just because a radio station’s transmissions are accessible through the faidr app does not mean a station is relieved of its obligation to comply with its existing licenses and pay royalties to the representatives or rights owners. Transmissions received through the faidr app should still show up as transmissions by the radio station and should be reported to SoundExchange and applicable PROs, as if the transmissions were received through a station’s own website or mobile application. No functionality offered by faidr interferes with the ability of a radio station to track the number of public performances made by a station.