HITS Daily Double


A decision by the Copyright Royalty Board will boost the slice earned by songwriters and publishers for streaming by nearly 44% over the next five years. The current rate of 10.5% of revenue will go up to 15.1% over the five-year term running 2018-22, though whether it will adjust incrementally or all at once hasn’t yet been announced. While still disputing the size of the per-stream rate, publishers are counting it as a big win.

We don't want to get to far into the weeds, but this is a boost in "interactive" (on-demand) streaming mechanicals. The Board also granted a late fee, boosted the Total Content Cost cap and raised the TCC rate which... hey, WAKE UP! Anyway, stay tuned for more. In the meantime, a few key publishing folks exchanged high-fives and issued exultant quotes.

Sony/ATV boss Marty Bandier had this to say:

As the leading music publisher, we believe that overall this is a very positive ruling by the CRB as it will deliver an unprecedented topline rate increase for songwriters and publishers over the next five years. While we are disappointed not to get the per-stream rate that we wanted, the planned rate increases go a long way to fairly compensate our songwriters for the essential contribution they make to streaming's success story.

The Association of Independent Music Publishers, meanwhile, offered its two cents (+44%):

The AIMP is thrilled with today’s announcement of the 44% increase in interactive streaming mechanical rates over the next 5 years—the biggest increase in the history of the CRB and the compulsory license. The additional benefits obtained from the late fee granted in the decision plus the removal of the Total Content Cost (TCC) cap are sorely needed elements in our path towards equitable compensation for the use of our music in the ever-growing digital economy. This is an incredible victory and a testament to the great work of David Israelite and the NMPA Board and staff, Bart Herbison and the NSAI Board and staff, and their collective legal team. Songwriters, composers, and publishers all owe them a debt of gratitude for their tireless efforts on our behalf, and the AIMP leadership and our 1,000 members nationwide salute and thank them.

This tweet from outgoing SONGS partner Matt Pincus was the most concise: