Reuters - A federal appeals court in New York, in a victory for Yahoo Inc, on Friday ruled that a webcasting service that provides users with individualized Internet radio stations need not pay licensing fees to copyright holders of the recordings it plays.

The U.S. Second Circuit Court of Appeals said a webcasting service cannot be classified as an "interactive service," which would require the fees. It said a webcasting service must instead pay only a statutory licensing fee set by the Copyright Royalty Board.

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