From CNET:
A three-judge panel ruled Friday that Yahoo will not have to pay up every time it plays a song on its Internet radio service, affirming an earlier verdict.
In what is being seen as a defeat for the music industry, Yahoo Music was not deemed "interactive" enough to require the company to negotiate with record companies for the rights to play songs over the Internet. Instead, according to Reuters, it merely has to pay licensing fees to digital music rights organization SoundExchange.
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