New issue of Music & Copyright with Russia country report

The latest issue of Music & Copyright is now available for subscribers to download. Here are some of the highlights.

UK High Court orders ISPs to block servers of illegal streaming services
The handing out of blocking orders to an ISP by a court is nothing new in several developed countries. Rights holders have for several years applied to courts to force ISPs to prevent their subscribers from accessing websites or torrent trackers that host or provide access to unlicensed music and media content. However, in line with the shift in legal content distribution to access from ownership, illegal services offering streams of copyrighted content are now common. Website blocking orders are unable to prevent these streams from reaching consumers. In the UK, the first legal order to block access to unlicensed streaming service servers has been granted, effectively paving the way for rights holders to extend the use of blocking orders far beyond their current reach.

Georgia court clears iHeartMedia in pre-1972 master rights claim
The Georgia Supreme Court has ruled that iHeartMedia does not have to pay mechanical reproduction royalties for the broadcast of sound recordings fixed in copyright before Feb. 15, 1972. The class action claim was brought by Arthur and Barbara Sheridan, master-rights owners of several 1950s and 1960s recordings performed by influential musicians of the era such as the Flamingos, Little Walter, and the Moonglows. The Sheridans had claimed that iHeartMedia never received authorization to stream their owned recordings. However, the Georgia court ruled that the streaming services provided by iHeartRadio qualify as a related use to a radio broadcast transmission due to their substantial similarity and the fact that streaming of sound recordings and broadcast by AM/FM radio are essentially the same in nature. As AM/FM radio broadcasters have the right to transfer sound recordings as part of radio broadcast transmissions, the court sided with iHeartMedia.

Music begins to get serious about music tech startups
The music industry is pouring resources into technology startups, at the same time as venture capital money looks for opportunities in the music-tech space. More music companies are joining forces with investors to seek out and advance tech-based business concepts inside accelerator/incubator programs, with a view to being part of the “next big thing.” In addition, leading firms with startup mentalities in their own DNA are on the lookout for early-stage developments, with a view to boosting their operations in highly competitive sectors.

Russia country report
In addition to the usual set of music industry statistics and news briefs, the latest issue of Music & Copyright includes a detailed Russia music industry report. Russia’s two main music industry sectors, recorded and live, have endured contrasting fortunes for much of this century. Recorded-music sales have always struggled to reach anything close to their potential, while the live sector has gone from strength to strength. The last few years have seen a reversal of fortune, with recorded-music sales benefitting from increased consumer interest in streaming and the live sector suffering a downturn, largely because of the devaluation of the ruble.

If you want to know more about Music & Copyright then follow the below links.

Music & Copyright is published by Ovum.

Advertisements

New issue of Music & Copyright

The latest issue of Music & Copyright is now available for subscribers to download. Here are some of the highlights.

Russia’s royalty collection system heading for a big shake-up
Russia’s music royalty collecting segment has been in turmoil over the last few weeks as Sergei Fedotov, head of state-approved authors’ rights collecting society the Russian Authors’ Society (RAO), was arrested and a group of rights holders left the organization to set up a new collecting society, the Russian Authors’ Union (ROAS). Police opened an investigation into RAO a year ago, alleging that RUB500m ($7.7m) had been funneled out of the organization in a series of dubious real estate deals. However, no action was taken until late June of this year, when Fedotov was unexpectedly arrested on suspicion of fraud. In the weeks following his arrest, another collecting society, RSP, which collects a 1% tax on imports of electronic devices that can be used for copying content and until recently was closely associated with RAO, announced that it is cutting ties with the embattled organization. At around the same time, the creation of ROAS was announced, a collecting society claiming to avoid repeating RAO’s mistakes.

Subscriptions take the digital lead in Japan; physical formats remain dominant
The Japanese music trade association, The Recording Industry Association of Japan (RIAJ), has reported midyear production figures for physical music formats and trade earnings from the sale of digital music in the country. Combined revenue from physical audio and music video production was down year-on-year, while total record company earnings from digital sales and services were boosted by growth in subscriptions. Taking physical and digital together, total recorded music revenue suffered a small dip, in contrast to the slight rise in the first six months of last year. Physical formats still account for more than three-quarters of total recorded music trade income in Japan, and the positive gains in subscription income in the six-month period were unable to offset lower physical format revenue. Digital sales have gained momentum in the last few years, and rising subscription sales mean that Japan is now more in line with most Western markets. However, the country has a long way to go before it reaches the digital tipping point.

BMI begins its legal challenge to the DoJ’s insistence on full-work licensing
US performing rights organization (PRO) BMI has started the ball rolling on its legal challenge to the US Department of Justice’s (DoJ’s) interpretation of the consent decrees and how both ASCAP and BMI license performance rights. In 2014, the DoJ began a review to examine the operation and effectiveness of the consent decrees. This was following a request by ASCAP and BMI to consider new ways of licensing, and most notably, that they be permitted to allow music publishers to partially withdraw certain digital licensing rights. However, while the DoJ declined to allow a partial withdrawal, its decision to insist on full-work licensing has drawn considerable fire. Following the publication of the DoJ’s statement on the closing of its consent decree review, ASCAP and BMI said that they would pursue a joint campaign to challenge the DoJ. ASCAP is to push for legislative reform; however, it is BMI that has fired the first shots with its initiation of a legal challenge.

If you want to know more about Music & Copyright then follow the below links.

Music & Copyright is published by Ovum.

New issue of Music & Copyright with Russia country report

The latest issue of Music & Copyright is now available for subscribers to download. Here are some of the highlights.

WMG makes biggest recorded music market-share gains of 2015; indies cement publishing lead
Music & Copyright’s annual survey of the recorded music and music publishing sectors has revealed changes in global market share for the three major music groups and the independent sector. Recorded music leader UMG lost market share in 2015, but WMG, the smallest of the three majors, made the biggest gains. SME experienced a slight increase in its share. Sony/ATV remained the leader in terms of corporate publishing control, despite its share edging down. UMPG was the only major publisher to increase its market share. However, the collective share of the independent publishing sector registered the biggest share rise, with leading indies BMG and Kobalt making impressive gains.

TEOSTO reports record year for royalty collections in Finland
Finnish authors’ society TEOSTO has reported a record year for royalty collections from the use of music in Finland. But the total amount of royalties collected in Finland, which also includes performance and mechanical reproduction royalties collected through other organizations and remuneration for public lending and private copying, was lower in 2015 than in 2014. The decrease was caused by a big drop in private copying income as a result of a change in the way the income source is administered. Broadcasting accounted for the biggest share of domestic performing rights. Despite a big rise in digital collections, the income source remains a minor income stream for local authors and publishers.

Live performance video streaming moves towards the mainstream
Live performance video streaming is beginning to establish itself as a mainstream music segment. Leading US live entertainment group Live Nation looks set to become a major broadcast player after successfully rolling out Live Nation TV on Yahoo, with music festival streaming likely to become a key part of its portfolio. Video games platform Twitch.tv is also well placed in the space, given its large audience of electronic dance music (EDM) lovers. Smaller outfits see live streaming as a promising opportunity too: Tidal is busy establishing itself as a broadcaster, to market its core streaming service to consumers, while streaming apps providers are carving out niches as low-cost providers for artists looking to air their live performances.

Russia country report
In addition to the usual set of music industry statistics and news briefs, the latest issue of Music & Copyright includes a detailed Russia music industry profile. Russia’s two main music industry sectors, recorded and live, have had contrasting fortunes for much of this century. Recorded music sales had struggled to reach anything close to their potential given the size of the Russian population, while the live sector went from strength to strength. Now, the opposite is happening: Recorded music sales are rising in contrast to the live sector, which has been hit by the devaluation of the ruble and problematic relations with the West. Last year record company earnings benefitted from a surprise increase in revenue from the sale of physical formats. Although digital income was largely unchanged, revenue from subscription services registered a big rise, suggesting music access services are starting to resonate with consumers.

If you want to know more about Music & Copyright then follow the below links.

Music & Copyright is published by Ovum.

New issue of Music & Copyright with Russia country report

The latest issue of Music & Copyright is now available for subscribers to download. Here are some of the highlights.

Pressure shifts to Pandora as SiriusXM agrees pre-1972 deal
US satellite radio service SiriusXM has agreed on a settlement with the three major record companies and ABKCO Music & Records over the use of music fixed in copyright before February 15, 1972 (pre-1972 sound recordings). The settlement followed a California district court ruling in October that the broadcaster should pay royalties on the disputed recordings. The issue of royalties payable on the pre-1972 works has already seen a number of legal cases heard in several district courts in the US. Two members of the 1960s band the Turtles, Howard Kaylan and Mark Volman, who later became known as Flo & Eddie, have led the charge against the non-payment of royalties by SiriusXM and online radio service Pandora. Although SiriusXM is still battling against Kaylan and Volman despite legal defeats in New York and California, the broadcaster has decided to settle with the record companies rather than appeal the California court’s interpretation of the state’s copyright law, which means that the online radio service Pandora is now under the pre-1972 sound recordings spotlight.

SGAE membership approves accounts for 2013 and 2014
Spanish authors’ society SGAE has published its annual accounts for 2013 and 2014 after approval from its membership at the June annual general meeting. SGAE has experienced a turbulent last few years with arrests of senior executives for misappropriation of funds followed by antitrust investigations over high tariffs for live performance and broadcast fees. The collection society still has a long way to go to repair the damage caused, but SGAE said in June that total revenue grew last year compared with 2013 despite the difficult trading conditions which affected some of the main income sources. Digital collections registered good growth and mechanicals benefitted from the big rise in sales of CD albums.

Music TV still plays the world’s global juke box
Music TV has come a long way since the early days of MTV, with music videos having made the leap from being pure promotional collateral to premium content able to pay its own way. YouTube and Vevo have essentially replaced broadcast music television in the living room with on-demand tracks across multiple devices. But while large players dominate the space, there is still room for innovation, especially on the live music side of the business where brands are also eyeing the opportunity.

Russia country report
In addition to the usual set of music industry statistics and news briefs, the latest issue of Music & Copyright includes a detailed Russia music industry profile. For more than a decade, the two major music industry sectors, recorded and live, experienced very different fortunes in Russia. Recorded music sales suffered under the weight of piracy and the live sector went from strength to strength. However, in the last couple of years, the situation has turned on its head with recorded music on the up and live music suffering a decline. Rising digital sales have boosted record company earnings and there is real hope that the country may be just about to start delivering on its potential. In contrast, Russia’s live sector has been hit by a devaluation in the ruble and souring relations with the West over Ukraine that have forced the country’s economy into a deep and subsequently damaging recession.

If you want to know more about Music & Copyright then follow the below links.

Music & Copyright is published by Ovum.