DiscoBlue said:
Music videos are not something that should be paid for by the public or a vehicle for royalties - they are simply a medium to promote a song, like hearing it on the radio. iTunes exists for selling music videos - you don't try to charge YouTube, which is already running a massive budget deficit - to show videos.
O.k. - I can see where you're coming from, but I think there's a problem with this type of mind set - and it really bugs me.
Take a look at this article from today's Sun:
http://www.thesun.co.uk/sol/homepage/showbiz/music/article2319523.ece
How does this situation seem fair to anyone? Imagine if this was any other industry - and your product was sampled 100 million times. Would you not expect to make more than £11..!?!
The record industry has pretty much acknowledged that they can no longer make money from selling singles - and precious little from albums. This is because chart acts cost a fortune to develop (rumour has it that The Saturday's are £800,000 in debt to their label), and even then, those few successful acts subsidise the many others that major labels sign, but fail to get off the ground. How are new acts supposed to be paid for?
A performance of a song (on whatever format) is still a performance - and royalties from performances are one of the few ways that a record label and/or band can recoup these days. If you let YouTube off from paying sensible royalty levels, then radio will have a case for not paying... and TV will object... and shops could start to refuse to pay PRS.
Music is not free to make. It's actually very expensive. Any income actually supports a whole industry... not just Johnny pop-star... but also writers, producers, directors, stylists, designers, marketing teams, managers, post boys & tea ladies etc, etc...
Now, I'm not suggesting that people will ever stop making music - but you've only got to look at what's happened to record shops in the UK to see what happens when income dries up.
If artists can't make money from somewhere - there'll be less music, less choice, cheaper music videos - and, in the long run, we'll all suffer from a drop in quality.
In summary - YouTube does not have a right to show music videos for next to nothing. It can show them, but it needs to pay a sensible royalty level that compares with other forms of broadcast. Don't get me wrong - I enjoy watching videos on there - but, if TheBox has to pay PRS on the videos it shows, and Radio1 has to pay for the music it plays - why should YouTube be any different? If it can't afford to do this, then music should not be a part of it's service.