MOG changes affiliate payment terms, denies wider problems

Music service MOG has been copping some flak this weekend, after changing the terms by which it pays affiliates in its MOG Music Network of blogs and websites. An email to affiliates revealed that: “While demand for advertising on MMN continues to be strong, we are seeing a distinct slowdown in advertiser-issued payments. Regrettably, MOG doesn’t have the luxury of paying out affiliates before advertiser payments are collected. This means that we have to push back our payment terms to 120 days, starting with October 2008 earnings onward.” While TechCrunch suggested this may be indicative of wider problems at MOG, the company moved quickly to claim otherwise, in another email to affiliates (published in full here), stressing that payments will be “WITHIN 120 days, not IN 120 days”, and that the company is aiming to pay its affiliates as close to the original term of 60 days as possible.