Under copyright law, separate licenses exist for the "performance" of a song and for the recording or "distribution" of it. Satellite and Internet radio broadcasters (unlike traditional radio) are already required to pay performance-based royalties.
But the RIAA said it's concerned that both satellite radio companies have invested in technologies that allow them to shortchange artists on the distribution side "by giving users the ability to download copyrighted sound recordings to portable devices, effectively transforming a radio-like service into a digital distribution subscription service like Rhapsody or Napster."
The FCC is still accepting comments for at least another month on a more specific question: whether, if it finds the XM-Sirius deal is hunky-dory for the public, it should waive a decade-old rule prohibiting a single operator from controlling all of the satellite radio spectrum.
Source: CNet News