Songwriters Get A Huge Victory With Music Streamed
Songwriters have scored their biggest victory in Washington ever...
Last week, the Copyright Royalty Board ruled to increase pay from streaming services to songwriters and publishers by nearly 44% over the next five years.
Streaming services led by companies like Apple, Amazon, Pandora and Spotify now must pay songwriters 15.1% of their revenue. The previous rate was 10.5%.
Songwriters and publishers are at the mercy of the Copyright Royalty Board in Washington D.C. where three judges make up the board, and gathers every few years to evaluate payment rates.
The ratio between what labels get paid versus what writers and publishers get paid is still pretty large. For every $3.82 a record label gets, writers and publishers get $1, but things are getting better and better for the writers & publishers.
NMPA president David Israelite says...“The bottom line is this is the best mechanical rate scenario for songwriters in U.S. history, which is critically important as interactive streaming continues to dominate the market”.
In addition to the above mentioned good news, legislation dubbed the Music Modernization Act has a good shot at making it through Congress. It would be the first major overhaul of music copyright law in two decades, an effort that has support from all the major players in the industry.