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Songwriters’ New Streaming Royalties Approved Before the New Year

Arriving just before New Years’ Eve, on Friday (Dec. 30), the Copyright Royalty Board judges issued their ruling on streaming royalty rates for songwriters for the period of January 2023 to December 2027, upholding a settlement proposed by the National Music Publishers’ Association (NMPA), Digital Media Association (DiMA), and Nashville Songwriters’ Association International (NSAI) in late August. This ruling sets the rates for Subpart C and D of the five year period known as Phonorecords IV (or “Phono IV” for short), and it represents a compromise between the music industry and the streaming services, creating certainty around the royalties owed to songwriters for U.S. mechanicals. According to the settlement, which the NMPA touts as the “highest rates in the history of digital streaming,...

Publishers, Streamers Reach Deal for Highest Streaming Royalty Rate Ever: Here’s How It Works

Songwriter and publisher U.S. mechanical streaming royalty rates are going up — slowly — to a headline rate of 15.35% of total revenue from 2023-2027. That’s the big news out of Wednesday’s (Aug. 31) joint announcement on the “Phonorecords IV” settlement from the National Music Publishers’ Association (NMPA), the Nashville Songwriters Associations International and the Digital Media Association (DiMA). But how long will it take to get there and at what pace? What are the other conditions? Billboard now has more more key details about the deal. Under the new settlement agreement — which the NMPA touts will set the “highest royalty rate in the history of streaming anywhere” — the headline rate will escalate from 15.1% of revenue in 2023 to 15.2% in 2024 and then a half a percentage point inc...

NMPA Announces Legal Campaign Against Unlicensed Apps at Annual Meeting

The National Music Publishers’ Association is going after apps that skim music from digital services without getting the necessary licenses. On Wednesday (June 15), during the NMPA’s annual meeting in New York at Avery Fisher Hall at Lincoln Center, the trade group’s president and CEO David Israelite announced a new copyright infringement lawsuit filed against the music video-making app Vinkle. This was the first action in a new campaign to bring the app sector into line with U.S. Copyright law, Israelite said, which will also include cease-and-desist notices sent to about another almost 100 apps that the organization believes are not properly licensed. These apps may integrate music through licensed streaming services, but do not have their own licensing deals with rights holders. In a mo...

Lin-Manuel Miranda to Receive NMPA Songwriter Icon Award for 2022

Lin-Manuel Miranda will receive the National Music Publishers’ Association’s (NMPA) Songwriter Icon Award at its 2022 annual meeting, the organization announced Monday (May 23), while the keynote speech will be delivered by Universal Music Group chairman and CEO Sir Lucian Grainge. The annual meeting is being held at Lincoln Center on June 15, marking the first in-person iteration of the event since 2019. Manuel’s honor this year feels timely, arriving on the heels of his surprising Hot 100 No. 1 hit “We Don’t Talk About Bruno” from Disney’s Encanto soundtrack. NMPA president and CEO David Israelite says in a statement that the composer possesses “inimitable style and passion [that] continues to enrich our cultural landscape.” As the first-ever theatrically focused Songwriter Icon rec...

What the Metaverse Means for Music Creators (Guest Column)

There is a lot of buzz around the concept of a “Metaverse.” The company formerly known as Facebook recently announced its ambition to create a futuristic, immersive social experience, and to achieve this, it will become a new hub for listening to, discovering and interacting with music and music creators. Undoubtedly, music will be as important to the metaverse as it is to the real world. As Mark Zuckerberg recently told The Vergecast, “You might be able to jump into an experience, like a 3D concert or something, from your phone, so you can get elements that are 2D or elements that are 3D. … I think that this is going to be a really big part of the next chapter for the technology industry, and it’s something that we’re very excited about.” Merging social media, gaming, consumerism and othe...

Twitch & Music Publishers Nearing Licensing Deal

Amazon-owned Twitch has operated under the DMCA for years without backlash, but ever since the pandemic turned the music industry’s attention to Twitch for livestreaming concerts, spurring huge growth for the platform, music trade organizations like the NMPA and RIAA have accused Twitch of taking advantage of the DMCA to avoid paying for music — similar to the way the organizations have pressured TikTok, Facebook and YouTube to sign licensing deals in the past. So the two organizations have flooded Twitch with tens of thousands of takedown requests over the past year, forcing Twitch to the negotiation table by frustrating its users. In response, Twitch vp/head of music Tracy Chan has reiterated that Twitch does not tolerate copyright infringement, arguing that Twitch’s monetiza...

Roblox and Twitch Are Gaming the System Against Songwriters (Guest Op-Ed)

The company has made hundreds of millions of dollars on the backs of creators, including by requiring users to pay every time they upload music — taking advantage of largely young people’s lack of understanding about copyright — and then they take virtually no action to prevent repeat infringement or alert users to the risks they are taking. The fact that mostly children, who would have no idea whether Roblox has covered its legal bases, are the ones who are being taken advantage of is particularly egregious When confronted with the need to license in order to protect itself and its users, Roblox thus far has been defiant. Not only have they refused to pay for the songs they know are on the platform, they are trying to hide behind a misinterpretation of the DMCA to avoid liabil...

Music Publishing Revenue Topped $4B in 2020, Says NMPA

The U.S. music publishing industry registered a 9.6% revenue increase to $4.077 billion in 2020, up from $3.72 billion in 2019, according to the NMPA presentation. Surprisingly, within that, performance collections grew 7.92% to $2.1 billion from $1.945 billion in 2019. Both growth percentages were slightly down from the increases posted in between 2019 and 2018 when total revenue was up 12.7% from $3.3 billion in 2018; and within that performance was up 8.1% from $1.8 billion in the year earlier period. Consequently, Israelite pointed out that the pandemic will likely continue to be a drag upon growth. “Even though the world felt the effects of COVID back in March of 2020, because of the delayed nature of much of the revenue streams for the publishing industry, there was a later imp...

NMPA President: Unmatched Royalties Finally Turned Over to MLC Brings Insight and Progress (Guest Op-Ed)

How we got here is complicated. Separate from the effort to improve how much songwriters are paid from streaming is the challenge of even receiving the money at all. It’s been well known that streaming services were stockpiling unpaid royalties, and over the years that money continued to accrue with little recourse other than costly lawsuits that didn’t solve the underlying problem and threatened the growth we needed in a post Napster world. For over a decade experts have estimated, debated and debunked theories about how much was being held. Spotify, Apple, Amazon and others have long said they employed exhaustive searches for copyright owners. There have been congressional oversight hearings, studies done by the U.S. Copyright Office and industry experts, however the magni...

NMPA Touts Cross-Industry Legislative Cooperation, New Friendship With Peloton & More at Annual Meeting

Kicking off the National Music Publishers’ Association’s annual meeting Wednesday, the organization’s president and CEO David Israelite applauded RIAA CEO Mitch Glazier for his leadership in pulling together around 65 music trade groups to lobby Congress for CARES Act relief for self-employed music industry workers. Glazier himself applauded the industry for coming together and noted that in times of tragedy, artists are quick to respond, playing live concerts to raise money for any number of worthy causes. “But sometimes they are not so good at raising money for themselves” in their own time of need, he said. Israelite also pointed out the industry was forced to respond to California’s AB5 law, which was enacted to try and protect gig economy workers. That law, however, would have created...

NMPA Annual Meeting Celebrates Continued Publishing Growth, Warns of Pre-Pandemic Threats

The National Music Publishers’ Association announced its fifth consecutive year of increased revenues, while noting the industry’s high-stakes legal cases still ahead. The National Music Publishers’ Association’s annual meeting was held virtually Wednesday (June 10) due to COVID-19, where president and CEO David Israelite reminded membership that music publishing is still facing pre-pandemic threats to its business. Namely digital streaming services’ Copyright Royalty Board appeal and the Department of Justice’s review of ASCAP and BMI consent decree — which could also be an opportunity, depending on how the DOJ rules. “We are now 2.5% years into the new [rating] periods but we still don’t have certainty on our rates because Spotify and...