I think you're still okay. "An interactive service is one which allows a listener to receive a specially created stream where the listener can dictate the songs being played." We're not receiving a specially created stream per listener. And we can't dictate when our requests will be played (but the broadcaster can), and our requests are limited.
I do think other systems, like Launch and Pandora are in trouble though.
I agree with MZ's take. At first you want to think you are non compliant, but we can choose the songs, not the time. I would like to think you are in the 'gray area!'
I'll have to paste the rest in, there's more that makes it sound like we're non-complient.
I know we're non-complient in one area at times, we are not supposed to play a request sooner than one hour after it's made. Of course, a lot of times that's taken care of automatically because we're so backed up with requests, but at night and on weekends we often break that rule accidentally.
You're right that we don't allow you to create your own streams though.
Regardless of the outcome of the royalty rates situation, it looks like some big changes are ahead for us.
This is part of the DCMA rules (pasted below). I'm not sure if this is new or old, but I think it's new, because I was quite certain we were in compliance when we started this station...
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Step Two—Comply with the Performance Restrictions
Under the provisions of the DMCA, a service must meet a number of restrictions on the way in which the sound recordings are used. Adopted principally as a means to make it difficult for listeners to capture a digital copy of a sound recording played on a digital service, these rules adopt restrictions which may make some familiar broadcast practices difficult to replicate on the Internet, and may cause some broadcast stations to forfeit their rights to the compulsory license if they do not modify their practices. These rules include the following:
No Interactive Service.
A webcaster cannot provide an “interactive service.” An interactive service is one which allows a listener to receive a specially created stream where the listener can dictate the songs being played. In other words, a broadcast-type transmission in which the broadcaster makes the musical selections, is permitted. However, allowing a consumer to determine the songs played on an Internet stream by picking from a menu of songs would take the website out from under the compulsory license. Playing call-in requests is not prohibited, as long as the Internet station selects which requests to play, and when to play them. Services providing a limited degree of interactivity—those that allow a listener to select or de-select particular artists to be included in a stream, or to skip a limited number of songs, without guarantying that any particular song or artist will be played at any particular time—are in a gray area where hard and fast lines have yet to be drawn delineating what is permissible under the statutory license and what is not.