Pandora Settles Suit with Major Record Labels for $90 Million

Pandora Internet radio service announced yesterday that it has reached a $90 million settlement with record labels over royalties for older songs. A similar $210 million settlement took place in June between the labels and Sirius XM. Sony, Universal, Warner and Abkco sued Pandora last year for nonpayment of royalties. The argument centered on the fact that “federal copyright protection applies only to recordings made after 1972, with a patchwork of state laws applying to earlier recordings,” reports The New York Times. “We pursued this settlement in order to move the conversation forward and continue to foster a better, collaborative relationship with the labels,” said Pandora CEO Brian P. McAndrews.