Streaming music service Pandora has purchased a terrestrial radio station in the US to enable it negotiate more favourable license terms from music publishers.

The purchase of KXMZ-FM, which broadcasts out of Rapid City, South Dakota, means that Pandora becomes a terrestrial broadcaster and therefore eligible for the same Radio Licensing Marketing Committee (RLMC) license enjoyed by its competitors, says Pandora assistant general counsel Christopher Harrison.

Harrison says that Pandora now won't have to negotiate with the American Society of ...