MP3.com said it paid to run an ad in Grammy magazine, only to have it yanked by the National Academy of Recording Arts and Sciences, which runs the magazine.
On Thursday, MP3.com founder Michael Robertson posted part of a letter from NARAS telling MP3.com that the ad was pulled from the magazine because of the "controversial nature of your product" and limited advertising space.
"NARAS' claim to remain 'unbiased' by removing advertising seems laughable at best and musical McCarthyism at worst," wrote Robertson in his response. "The 5,500 artists with MP3.com deserve the right to be heard, and NARAS, above all others, should recognize the importance of giving artists a voice."
Wired News' MP3 coverage rocks.- - - - - -
NARAS "is busy putting on the Grammy Awards show, but they are happy and thrilled that MP3 is advertising in the Grammy program book," said Larry Solters, a spokesman for NARAS. He declined to comment on the magazine advertising.
A source close to NARAS said space limitations -- and not an anti-MP3 stance -- forced it to give ad space to companies in its own constituency first.
The scuffle is yet another development in the recording industry's freakout over MP3, or Motion Picture Experts Group, audio layer 3, a technology that lets users easily compress and send audio files over the Net at near-CD sound quality.
The Recording Industry Association of America fears MP3 promotes piracy and is developing its own standard for selling music online. IBM is also bidding for a piece of the big record labels' online business with its yet-to-be-launched Madison Project.
The letter posted on MP3.com reads, "The Recording Academy has asked me to steer you away from this vehicle. Your position in the [Grammy awards] program is secure, however."
The letter continues, "NARAS must maintain an unbiased position with regard to numerous issues facing the music industry today." The letter says NARAS was also asked to decline a sponsorship from DTS related to a DVD disc product, to avoid looking like they supported the DTS 5.1 sound-system technology over Dolby's technology.
The MP3.com ad says, "Hear No Evil. Future Grammy Winners Here," referring to MP3.com's practice of championing smaller bands and giving all artists a 50 percent cut of profits.
"We have extended an offer [to NARAS] to post a response on our site," said Doug Reece, senior editor at MP3.com. "We were unable to get an on-the-record comment" from NARAS officials, he said.
