Ron Maxwell “Music Rates Changing in 2026”
Heads-Up for Internet Radio Streams: Music Rates Changing in 2026
As a long-time Internet broadcaster overseeing three stations, Cape Christian Radio, Christian Life Radio, and Beyond Country, I’ve kept a close eye on music royalty fees over the years. This year marks 20 years of streaming for Cape Christian Radio, and in that time, I’ve seen how quickly licensing costs can change.
You most likely are familiar with the organizations that collect royalties, ASCAP, BMI, SESAC, and SoundExchange, often referred to as “rights organizations” or “collective rights management agencies.” They make sure songwriters, publishers, and recording artists are compensated when their work is streamed. Because licensing is such a significant expense for stations like the ones I oversee, I track every rate change closely.
If you run a noncommercial Internet radio station, be aware that streaming music royalty rates are set to change in 2026, and they will most likely go up.
The Copyright Royalty Board is finalizing new SoundExchange rates for the 2026–2030 period. While the non-commercial webcaster rates haven’t been published yet, commercial streaming rates will jump by more than 30% in the first year, then increase annually through 2030. That’s a strong signal that non-commercial rates will most likely go up as well.
Currently, the $1,000 annual minimum fee per stream covers up to 159,140 Aggregate Tuning Hours (ATH) per month, with a per-performance charge if you go over. Any increase to that per-performance rate will especially affect stations with larger audiences or high-listenership events. Broadcasters who are members of NRB, I understand, have different rates under their group agreements, but Internet-only stations do not have access to those arrangements.
Bottom line: If you’re streaming now, plan ahead for likely increases. Build it into your 2026 budget so you’re not caught off guard when the new rates take effect.
An Interesting Twist
In a surprising legal turn, a federal court recently ruled that SoundExchange, the entity responsible for collecting and distributing digital performance royalties, currently does not have the authority to sue over alleged underpayments under Section 114 of the Copyright Act. While this does not change a Broadcaster streaming online or an Internet Radio operator’s legal obligation to pay, it removes one enforcement tool that many believed SoundExchange could use. For stations already in compliance, the ruling changes nothing operationally. However, for those avoiding or delaying payments, SoundExchange’s ability to take direct legal action is, for now, limited depending on if Congress acts to restore it.
Looking Ahead
Whether rates rise, laws change, or enforcement rules shift, staying informed is your best defense.
Anticipating future rate changes and planning ahead creates confidence and peace of mind when the new rates take effect.
2026 SoundExchange Streaming Rate Watch
Who’s Affected?
- Broadcast Commercial and Noncommercial Internet radio station streams
- Internet-only streams
Current Non-Commercial Rate (through 2025)
- $1,000 annual minimum fee per stream
- Covers up to 159,140 ATH/month
- $0.0025 per performance if over ATH cap
What’s Changing?
- New SoundExchange rates for 2026–2030
- Commercial rates locked in for +30% in 2026 and annual increases afterward
- Noncommercial rates will most likely go up. Details pending from the Copyright Royalty Board
When to Act
- 2025: Monitor announcements from SoundExchange & CRB
- Late 2025: Adjust 2026 budgets to prepare for increases
Ron Maxwell is a Christian Media Strategist and Music Curator for Christian Music Preservation®, offering a vast library of curated Christian music to power innovative projects. He envisions how a first-of-its-kind faith-based streaming app could let listeners build their own themed radio experience—anytime, anywhere. If your organization is exploring its next step in digital ministry, I’d love to discuss how Christian Music Preservation® can help bring your vision to life. Contact Ron communitynetradio@gmail.com