On September 23, 2008, songwriters, publishers, record labels and digital music services announced they had reached an agreement on mechanical royalties for songs played on online music services. According to the agreement, limited download and interactive streaming services will pay a mechanical royalty of 10.5 percent of revenue, less any amounts owed for performance royalties. Called a ?breakthrough that will facilitate new ways to offer music to consumers online,? the voluntary agreement crafted by the Digital Media Association (DiMA), the National Music Publishers? Association (NMPA), the RIAA, the Nashville Songwriters Association International(NSAI) and the Songwriters Guild of America (SGA) ended a longstanding dispute about mechanical royalties for interactive streaming and limited downloads. This blog post explains what digital mechanical royalties are, and how this agreement affects musicians, music services and webcasters. read more