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By Lehar Maan
(Reuters) - Music streaming services provider Pandora Media Inc has signed two separate multi-year licensing agreements with music licensing companies ASCAP and Broadcast Music Inc (BMI) for their combined catalogs.
As part of the deal with BMI, Pandora has agreed to withdraw its appeal in a recent BMI rate case.
BMI had sued Pandora two years ago, demanding a higher royalty for licenses. Pandora had said in May it will appeal a rate court ruling that could force it to pay higher royalties to BMI for music licenses.
A U.S. Copyright Royalty Board last week raised rates that Pandora and other Internet radio stations would have to pay, to 17 cents per 100 plays in 2016 through 2020, up from 14 cents now.
Radio companies and the music industry had lobbied for sharply different schedules on payments, which are a major cost for Pandora and an important source of income for artists.
BMI manages performance rights for composers and publishers like Lady Gaga, Rihanna and Willie Nelson.
Shares of Pandora were up marginally at $14.25 in early trading on Tuesday. OLUSINT Reuters US Online Report Internet News 20151222T142243+0000