The lead feature in Music & Copyright examines the European Commission’s latest plans to deal with intellectual property rights protection. In a two-pronged approach, the Commission said it will focus its antipiracy efforts in the European Union on commercial-scale infringements, while at the same time promote enhanced copyright protection standards in countries outside Europe to try and limit the trade in illegal goods.
Our second feature details the US Supreme Court ruling that the controversial TV streaming service Aereo infringes broadcasters’ copyrights by retransmitting their programming without authorization. The Court ruled by a majority of six to three that Aereo’s strategy of charging customers a monthly fee to use the over-the-top service must stop. However, the Court noted that its decision would not have an impact on the emergence or use of different kinds of technologies such as cloud computing and remote storage DVRs.
In addition to a review of Austrian authors’ society AKM’s financial results for 2013 and the latest on Sony Music’s legal action against the passenger entertainment service Inflight Audio, the special focus this issue is on the management of music-bundles, their activations, contractual obligations and key performance indicators.
The country report is Russia. For more than 10 years, the two major music-industry sectors, recorded and live, have experienced very different fortunes in Russia. Recorded-music sales are a fraction of what they used to be, but the country’s live sector is in good shape, and big-name acts regularly perform in the country as part of a world tour. However, the launch of Apple’s iTunes sparked interest in legal downloads and early gains from subscription services suggest the recorded-music sector’s dark times may be nearing an end.
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Depending on where a musician sits in the music industry value chain, a top-10 list of what’s most important to an unsigned artist will differ greatly to one compiled by a million-album seller. Scratching a living out of music is something tens of thousands of musicians do every day. Although the Internet has opened up the promotion and distribution of music to anyone with a computer, it has also made selling music a lot more difficult as almost every single release in a digital-music store is available for free somewhere online. Continue reading
Last year the European Commission introduced new proposals for a directive on the collective management of copyright and multiterritory licensing of music. The proposals, which target collection-society transparency and the efficient working of digital-distribution businesses in Europe, are working their way through a series of committees. After that, they must be agreed upon by the European Parliament and European Council of Ministers.
What the directive will not do is interfere with the way music publishers administer their rights. All of the major publishers and a number of independents have withdrawn the rights to certain repertoire for licensing on a multiterritorial basis. Some see these moves as a step towards the creation of a new form of fragmentation, one based on repertoire, rather than national borders. Publishers have long claimed that withdrawing certain repertoire rights streamlines the licensing process. However, music ownership can involve multiple publishers and therefore digital services that want to provide an all-encompassing offering still need to sign more licensing deals than the number of countries they operate in. Continue reading
In the past 20 years or so, all sectors of the music industry have been through massive change. Format transitions, company consolidation and greater scrutiny of copyright and licensing have changed the industry beyond all recognition. But have the changes made for industry improvements, and more important, have the main players learned from their mistakes? The recent discovery of the first issues of Music & Copyright has allowed for a unique look at just how much certain things have changed, and how much they haven’t.
The newsletter’s 20-year anniversary came and went in September, but thanks to a long-standing subscriber, copies of the first 24 issues published have been found and make for interesting reading. Despite containing names that have either long since left the music industry or been swallowed up as part of industry consolidation, the headlines for a number of news stories resonate closely with happenings today. Continue reading
Toward the end of last year, Deezer and iTunes extended their footprints to include several countries that are often considered emerging markets. The growth of broadband Internet use around the world, providing access to a wealth of unauthorized recorded music, has made life difficult for new digital-service rollouts. But with the balance of economic power expected to shift away from the current leaders, is now the time for the emerging markets to start living up to their name? Continue reading
The accuracy of data regarding the reported use of music is key in determining the level of royalties paid to authors, publishers, performers and producers. Improvements in technology to identify what music has been played and performed at all manner of venues and establishments has resulted in higher collections and greater confidence that royalties are reaching the correct recipients. But is there a point where collection costs outweigh the benefits? And if so, are the smaller, less commercial artists the ones in danger of missing out? Continue reading
Few regions in the world have escaped the spread of digital-music services. Even in the least developed territories, basic digital services, such as ring tones and ring-back tones, have been rolled out in an effort to tempt customers to go digital. But even though many of the Gulf States have highly developed technology infrastructures, digital-music services have been slow to take hold. Moreover, the lack of collection societies to administer rights collections has left the region as something of a rights wasteland. Could overseas involvement kick-start the rights-administration process? Continue reading
Performance-rights collections paid to record companies (producers) and performers are often seen as the poor relation to authors’ rights, with global receipts from performance rights traditionally much lower than the equivalent authors’-rights total. Yet for the past couple of years the growth in performance-rights collections has outshone authors’-rights collections. Moreover, the revenue stream is growing in importance as the recorded-music industry continues to battle falling sales. Continue reading
As the issue of multiterritory licensing comes under the spotlight in Europe, differences in rates charged and rights splits will become more evident. Will an EU directive that breaks down national borders be followed by a bigger push for deeper collection-society harmonization across the region?
With publication of the European Commission’s new multiterritory licensing proposals, Brussels’ efforts to harmonize the EU’s digital-music landscape are looking to build on legislation harmonizing authors’ and publishers’ rights that are managed by collection societies. Continue reading
The number of digital-music services in Europe is growing every year and consumers across the continent are being presented with an array of different ways to listen to music. Digital-music delivery and consumption has undergone a rapid transition. However, such has been the speed of the sector’s evolution, new business models specializing in digital-music delivery across Europe have forced those organizations charged with issuing licenses to rethink the way they operate.
Music publishers and collection-societies in Europe have taken to the task in different ways (see below table for major music publisher initiative details). But, in contrast to a few years ago, when digital-music services were required to negotiate countless licensing deals, agreements between music publishers and collection-societies have reduced the necessity for endless rounds of licensing negotiations. Continue reading