Today, news broke that Merlin—a global rights agency representing independent labels—entered into a deal with Internet radio leader Pandora that seems to align the incentives of both parties while maintaining direct payment to artists.
Overall, we are glad to see a major music service commit to better serving indies using technology, and with a shared goal of growing audiences for that music (and thereby generating more revenue).
The House Judiciary Subcommittee on Courts, Intellectual Property and the Internet held its second hearing on music licensing on June 25, welcoming input from a variety of interest groups and organizations as a continuation of the ongoing reexamination of our country’s copyright system. You can find our coverage of the prior hearing here.
Nine witnesses testified before the committee, offering opinions that varied in focus but all highlighted major areas of potential reform. Witnesses for this hearing included singer/songwriter Rosanne Cash representing the Americana Music Association, Cary Sherman (CEO of the Recording Industry Association of America, or RIAA), Charles Warfield on behalf of the National Association of Broadcasters (NAB), Darius Van Arman on behalf of the American Association of Independent Music (A2IM), Ed Christian of the Radio Music License Committee (RMLC), Paul Williams as President of the American Society of Composers, Authors and Publishers (ASCAP), Chris Harrison of Pandora, President of SoundExchangeMichael Huppe, and David Frear, CFO of Sirius XM.
In yesterday’s congressional hearing on music licensing, Chris Harrison, VP of Business Affairs at Pandora, expressed concern for the viability of internet radio, making reference to popular internet broadcaster East Village Radio having shut down its operations last month, “because they couldn’t afford the [royalty] rates.” As fans of EVR’s wildly eclectic programming, we were saddened to hear that the station was closing down. But Harrison’s account of the reasons behind the closure isn’t the full picture.
Yesterday (June 25, 2014), the House Subcommittee on Courts, Intellectual Property and the Internet held yet another hearing in its ongoing review of existing copyright law. (Our full recap is here; check out our coverage of the full series of hearings here.) Today, we’ll focus on one particular topic that has come up repeatedly in Congress and elsewhere: the lack of federal copyright protections for recordings made before February 15, 1972. read more
If you think about classic rock, soul, jazz, r&b and pop music, lots of names come to mind—the Beatles, Aretha Franklin, Miles Davis and Elvis, to name a few. What you may not realize is that federal copyright law doesn’t apply to recordings made by these performers before February 15, 1972.
This exception makes it hard for these artists—and thousands of less-known musicians and performers—to be paid for their contributions to musical culture. read more
WASHINGTON, DC—Today, Representatives George Holding (R-NC) and John Conyers (D-MI), introduced the RESPECT Act, a bill meant to create a limited performance right for the use of sound recordings by satellite and Internet radio companies.read more
At FMC we’re all about artists getting paid for the use of their work, particulary when the music is used by large, publicly traded companies. But if the labels are so keen to make sure that performing artists (or their heirs) are being properly compensated, there’s a better way to do it.
There’s been a lot of back-and-forth regarding a recent court ruling that maintains the current royalty rates paid by Internet radio company Pandora to ASCAP, a 100 year-old performing rights organization (PRO) that collects money for AM/FM and Internet radio play then distributes that revenue to songwriters and publishers.
In the coming days, we hope to offer varying viewpoints from individuals and groups in this ecosystem. For now, we’ll try to demystify this decision and the licensing frameworks that informed it.
This week Pandora negotiated directly with Universal Music Publishing Group, one of the largest music publishers, to acquire continued use of UMPG recordings in its streaming stations. BMI recently won a court judgment against Pandora, which allowed its client publishing companies (like UMPG) to escape the government-set “consent decree,” which provides a blanket usage license to listening outlets like Pandora. Pandora normally sticks with government-set rates, but was nudged onto the direct-negotiating path by that surprising court decision. Read more.
The Internet Radio Rate Wars continued this week, as performing rights organziation (PRO) ASCAP squared off against Internet radio giant Pandora in a federal court. The outcome could determine how royalty rates are set for PROs, webcasters, songwriters and publishers well into the future.