MediaNet Blog

Digest: Soundcloud Is/Isn’t Running Out of Cash, SESAC Sells to Blackstone (for Maybe A Lot?)

Posted by Glen Sears, Editorial Content Manager | January 9, 2017 9:47 am | No Comments

soundcloud-spotify-deal-e1475140019462

Top Story This Week

SoundCloud ‘May Run Out Of Cash This Year’ As It Posts $54M Loss
SoundCloud’s losses grew faster than its revenues in 2015 – with the company now admitting that, should its subscription service flop, its funding may run dry this year, according to a new filing at Companies House (UK).

“The assumption of a successful launch of the new subscription service is the key element of [our] financial projections for the next three years… [This] bears financial risks regarding the operating results and cash flows of the group. The occurrence of these risks can seriously affect the ability of the group to generate sufficient cash to cover the planned expenditures and could require the Group to raise additional funds which have not yet been agreed.”

Read the full story on Music Business Worldwide

Other Music News Highlights

SoundCloud Responds To Cash Crunch Claims. In a statement, Soundcloud told journalists: “We are on a very positive path to achieving our aim of enabling all creators to be paid for their work, while also building a financially sustainable platform where our connected community of creators, listeners and curators can continue to thrive.”

Blackstone to Acquire Music Rights Organization SESAC. Financial terms of the deal have not been disclosed, but this marks Blackstone’s first step in a new strategy to hold onto private investments longer than most equity firms, a point highlighted by SESAC CEO John Josephson in the announcement.

Was Blackstone’s SESAC Acquisition a $1 Billion Deal? Ed Christman looks at the tea leaves in the Blackstone/SESAC acquisition that “might well be $1 billion deal,” including company financials and Wall Street reports.

BMI Files Action Against RMLC Over Royalty Rate Proposal. “The RMLC can point to no changed circumstances that warrant a reduction in BMI’s interim or final rate,” the BMI filing states. “BMI believes that the market developments will support a final rate of greater than 1.7 percent of gross revenue payable to BMI.”

BMG Responds To Appeal In Cox Communications Dispute. “Cox claims that BMG’s notices are ‘littered with flaws’, but Cox was able to identify errors in a tiny handful of the 1.8 million BMG notices at issue — the evidence showed that Rightscorp’s system was ‘well over 99%’ accurate.”

SiriusXM Ends 2016 With More Than 31 Million Subscribers. The company also said that it expects to meet or exceed its 2016 guidance for revenue, adjusted earnings before interest, taxes, depreciation and amortization (EBITDA), as well as free cash flow when it reports its full financials next month.

All Three Major Labels, Pandora and RIAA Announce Support for Hi-Res Audio Streaming. The announcement came during, and from, the 50th Consumer Electronics Show in Las Vegas where the DEG sponsored a hi-res “Audio Pavilion.” The exhibition manifested its “Stream the Studio” message with a fully-equipped world-class recording facility filled with hi-res devices and showcasing a series of live demo sessions with award-winning engineers.

Our best wishes for a great week! – MediaNet

Follow MediaNet! – Facebook | Twitter | LinkedIn | Medium

Have questions about how Medianet can help your digital music business? Ask us here. Want a topic or insight published on this blog? Ask us here.

Digest: SoundExchange Revenue To Drop in 2017, Alibaba Investing $7.2 Billion in Entertainment

Posted by Glen Sears, Editorial Content Manager | January 3, 2017 9:50 am | No Comments

stock-money-bag-billboard-650

Top Story This Week

SoundExchange Could See Collected Revenue Shrink by $200 Million in 2017
According to sources with knowledge of the situation, a recent shift to direct licensing likely lead to slower growth in 2016 and a precipitous drop this year as collections could decrease by about $200 million, according to Billboard estimates.

The primary reason for this loss is that some of the major satellite, digital radio and cable music players have begun moving away from using a compulsory license for recorded music and are instead signing direct deals with record labels.

Read the full story on Billboard

Other Music New Highlights

European Entertainment Stocks Mostly Down in 2016. European entertainment industry stocks are on track to mostly finish 2016 lower amid concerns about economic trends and advertising revenue momentum, as well as Britain’s decision to leave the European Union and individual challenges.

Apple Music Beats Spotify, Pandora To Rank 9th In Mobile Usage, Says Nielsen. Despite heavy iOS focus and status as a paid subscription service, with 20 million paid users, about two-thirds of the app’s overall 68.4 million 2016 users accessed the app’s limited free offerings.

Alibaba Set to Invest $7.2 Billion on Entertainment Content. The unit’s new CEO Yu Yongfu said that the company planned to invest heavily in content, adding that he “didn’t come to play,” according to an internal memo seen by Reuters and confirmed by a company spokesperson.

RIAA Exec Q&A: 2017 Will be a “Critical Year” for Music Law. “While litigation can be an important tool, it often takes a long time and the results are unclear,” says Steve Marks. “Solutions between business and industry partners can clear a path through thorny legal issues.”

SoundCloud Touts Music Discovery, Creator Updates In Year End Report. SoundCloud is touting improvements in both music discovery and tools for creators in its year-end wrap up—2016 was the year that the music streamer finally added a paid subscription service and began paying more, but not all, creators.

Our best wishes for a great week! – MediaNet

Follow MediaNet! – Facebook | Twitter | LinkedIn | Medium

Have questions about how Medianet can help your digital music business? Ask us here. Want a topic or insight published on this blog? Ask us here.

Industry News Recap: MIDiA’s 2017 Predictions, APRA Boosts U.S. Presence, Ticket Bots Under Fire from Congress

Posted by Glen Sears, Editorial Content Manager | December 19, 2016 10:00 am | No Comments

MRP1611-cover

MIDiA Research Predictions 2017: The Year Of The Platform

Story of the Week
“2016 was the year that video ate the world. 2017 will be the year of the platform, the year in which the tech majors will fight for pre-eminence in the digital economy, competing for consumer attention through formatting and distribution wars. Companies that are already using mobile Operating Systems to achieve global reach will take the next step, creating Mobile Life Ecosystems that both break out of the app silo walls and straddle them.

Facebook, Amazon, Tencent, Microsoft, Apple and Google/Alphabet will be the main players. 2015 was about parking tanks on each other’s front lawns, in 2016 shots were fired, 2017 will be all-out war. Artificial Intelligence (AI) and voice assistance will be key battlegrounds and indeed will form the glue of Mobile Life Ecosystems.”

Read a summary of MIDiA’s 2017 Predictions here

Top Music News

APRA Boosts U.S. Presence, Unveils Simplified Licensing System. The joint-venture development, announced Thursday (Dec. 15), follows the introduction of OneMusic NZ three years ago, a project which was “warmly welcomed” by licensees, APRA and PPCA note in a joint statement.

iHeartMedia Chooses to Pay Its Lenders Over Itself as Debt Continues. On Friday, $250 million “legacy notes” came calling, $57.1 million of which iHeart owes to its own subsidiary, Clear Channel Holdings, Inc—but, in an SEC filing, the company says it will only be paying outside creditors the $192.9 million it owes them.

President Obama Signs “Better Online Ticket Sales (BOTS) Act of 2016.” The U.S. Congress has passed and President Obama has signed a bill that outlaws all ticket bots, computer programs that enable ticket brokers to bulk purchase concert and event tickets, raising average ticket costs for millions of fans.

FCC Boss Tom Wheeler Resigns. With a Trump presidency looming, and the dismantling of net neutrality a seeming inevitability, Tom Wheeler, the boss of the FCC and long time defender of net neutrality, recently announced his resignation.

Spotify’s Acquisition Of SoundCloud Looks Like It’s Off. A source told TechCrunch that the company ultimately walked away because it feared that an acquisition could negatively impact its IPO preparation.

New SoundCloud Deal Protects DJ Mixes — But Not All of Them. “As a creator driven platform, we respect all creators, and therefore we respect the rights of all creators who request to have their content removed,” a new blog post on the Soundcloud site clarifies earlier remarks by Soundcloud Co-Founder Eric Wahlforss.

Snapchat Users Can Shazam Songs Without Leaving the Messaging App. Holding down anywhere on the camera screen within Snapchat will prompt Shazam to identify music playing nearby, launching a pop-up box that will allow users to retrieve more info, including lyrics, preview the audio, play a Vevo clip, or share.

Our best wishes for a great week! – MediaNet

Follow MediaNet! – Facebook | Twitter | LinkedIn | Medium

Have questions about how Medianet can help your digital music business? Ask us here. Want a topic or insight published on this blog? Ask us here.

Industry News Recap: YouTube Spars With IFPI Over $1B Royalties, Sony Unifying Arms, Pandora goes Premium

Posted by Glen Sears, Editorial Content Manager | December 12, 2016 9:28 am | No Comments

YouTube-IFPI-music-industry

YouTube Reports $1 Billion Paid to Recording Industry Through Advertising This Year

Story of the Week
After a year of sustained and withering criticism from the recorded music industry — and one day after Lyor Cohen began as its global head of music — YouTube has announced a topline stat intended as a strong defense of its business model and its contributions to the global recording industry.

In a blog post this morning YouTube’s Chief Business Officer Robert Kyncl writes that “in the last 12 months, YouTube has paid out over $1 billion to the music industry from advertising alone.” (Google itself reported ad revenue of $19.8 billion in the third quarter.) In a study released earlier this year, Statista found that 63 percent of Americans had listened to music on the platform at some point.

Read the full story on Billboard.

Top Music News

IFPI Hits Back At YouTube Over $1bn Payouts Claim. “Google has today issued more unexplained numbers on what it claims YouTube pays the music industry. The announcement gives little reason to celebrate, however…YouTube is generating revenues of just over $1 per user for the entire year. This pales in comparison to the revenue generated by other services…For example, in 2015 Spotify alone paid record labels some $2 billion, equivalent to an estimated $18 per user.”

YouTube Strikes Settlement Deal Over Unpaid Royalties with NMPA. The dollar amount of the settlement were not disclosed — a press release on the news says “millions of dollars in previously unclaimed music royalties” — music publisher sources had previously speculated to Billboard that it could land in the same range as the $30 million payout by Spotify.

Sony Eyes Unification Of Record, Publishing Arms. Sony Corp. is considering a major reorganization, and the recorded music division Sony Music Group and music publisher Sony/ATV possibly would unite in a division separate from film and gaming.

Global Music Publishing Royalties By The Numbers. Glenn Peoples comments on the International Confederation of Societies of Authors and Composers recently-issued report which has shed some light on the world of music publishing, with free on-demand services once again being targeted.

Apple Music Reaches 20M Subscribers, Adding 1M A Month. Apple is enjoying the fruits of this growth too: the company recently said its music revenue was up 22% in the third quarter thanks to Apple Music, with services a bright spot for the company amid declining hardware sales.

Pandora Reveals Its Spotify Competitor, Pandora Premium. After a just under a year of re-engineering Rdio, the well-liked streaming service it purchased last December for $75 million, and the launch of a mid-tier subscription service in September, Pandora has pulled the curtain off of its all-you-can-eat streaming service, called Pandora Premium, expected to be released in the first quarter of next year.

Australian Creators Launch Campaign Against Proposed Copyright Reform. “At a time when copyright is working in practice as it should, and just when the culturally-rich and economically vital business of music is getting back on its feet, it’s difficult to fathom why measures such as those relating to safe harbour expansion or so-called ‘fair use’ should be contemplated by government”.

Our best wishes for a great week! – MediaNet

Follow MediaNet! – Facebook | Twitter | LinkedIn | Medium

Have questions about how Medianet can help your digital music business? Ask us here. Want a topic or insight published on this blog? Ask us here.

RECAP: Pandora Reportedly Open To SiriusXM Deal, IFPI “Investing In Music” Report, Startups Closing Big Funding

Posted by Glen Sears, Editorial Content Manager | December 5, 2016 9:26 am | No Comments

57da8fd65124c95c59abec3c-728

Pandora Shares Spike on Report It’s Open to SiriusXM Deal Talks

Story of the Week
Shares of music-streaming provider Pandora shot up as much as 17% Friday, after CNBC reported the company was open to discussing a sale to satellite-radio service SiriusXM.

Following the CNBC report, Reuters reported that Pandora is not undertaking any new effort to find a buyer, citing an anonymous source. That’s consistent with what Pandora execs said earlier this year, after a New York Times report in February that the company was seeking to sell itself.

According to the CNBC, Pandora has “expressed a willingness to engage” in deal talks with “longtime suitor” SiriusXM, which is majority-owned by John Malone’s Liberty Media. The potential talks between the companies were in “the first inning of the process,” per the report, citing unidentified sources.

Read the full story on Variety

Top Music News Stories

SiriusXM Must Pay Up To $99M In Flo & Eddie Class Action Settlement. The settlement guarantees $25 million payment vs. a 5.5% license for 10 years, which is worth between $45.47 million to $59.2 million, assuming the satelitte streamer plays the other class members at the same play rate as they have in the past.

Record Label A&R Spend Grew By $300m Last Year According to IFPI Report. The figure, along with many others, comes from a new IFPI report “Investing In Music,” co-signed by both the majors and worldwide independent label group WIN.

iHeart Launches Napster-Powered Subscription Service. “Ten times more Americans listen to radio every month than use a subscription service – so the debut of iHeartRadio Plus and iHeartRadio All Access powered by Napster is a unique opportunity to capture these non-music subscribers with an on-demand service built around radio.”

Dubsmash Adds $9.6 Million For Viral Music Video Lip-Sync App. The Berlin-based Dubsmash added $9.6 million in series B funding to expand its viral music video lip-sync app, after having previously raised $6 million.

Music Tech Startup Soundstr Closes $1.1M In Seed Financing. Soundstr’s patent-pending technology offers tracking data to the manner in which venues and businesses pay for the use of music, and songwriters receive royalties.

Warner Music Boss Reportedly Involved In Bid For Publisher Time, Inc. According to sources cited by the New York Post, the trio were offering $18 per share to acquire the media firm, which is a 30% premium on the price the company’s shares were trading at last week.

How Technology Is Powering The Music Industry…In Figures. Midem Blog presents various year-end statistics about the intersection of music and technology, including the massive number of users on QQ Music, “China’s Spotify.”

Our best wishes for a great week! – MediaNet

Follow MediaNet! – Facebook | Twitter | LinkedIn | Medium

Have questions about how Medianet can help your digital music business? Ask us here. Want a topic or insight published on this blog? Ask us here.

RECAP: MegaUpload’s RIAA & MPAA Lawsuits Frozen, MROs and PROs Had Big Year, Amazon To “Disrupt” Ticketing

Posted by Glen Sears, Editorial Content Manager | November 28, 2016 9:24 am | No Comments

kim_dotcom_released_on_bail

Court Freezes MegaUpload’s MPAA and RIAA Lawsuits

Story of the Week
A federal court in Virginia has granted Megaupload’s request to place the cases filed by the music and movie companies on hold until April next year, while the criminal case remains pending. Meanwhile, Megaupload is “working hard to ensure that critical evidence on decaying hard drives is preserved.”

Last December a New Zealand District Court judge ruled that Kim Dotcom and his colleagues can be extradited to the United States to face criminal charges, a decision that was appealed earlier this year. While all parties await the outcome of this appeal, the criminal case in the United States remains pending. The same goes for the civil cases launched by the MPAA and RIAA in 2014.

Fearing that these might influence the criminal proceedings, Megaupload’s legal team previously managed to put these civil actions on hold, and this week another extension was granted. The downside of yet another delay is that the evidence remains at risk of being destroyed. Much of the Megaupload data is stored on hard drives, which according to hosting provider Cogent, are not in the best shape.

Read the full story on TorrentFreak.

Top Music News Stories

SoundExchange Paid Out $264m In Q3 – Its Biggest Quarter In Two Years. According to the US company’s latest data, it delivered $263.5m to labels and artists in the three months to end of September (Q3), up 29.2% on the previous year.

Music Rights Societies Collected €7.5 Billion Last Year, Says CISAC Report. “2015 saw an overall increase of 21.4% in our members’ collections from digital platforms and this is strongly encouraging. Yet, the share of digital income out of total royalties collected by our members is fairly low, at 7.2% only”.

CD Baby Acquires Show.co, Soundrop To Expand Artist Services. The deal continues a trend of established new music industry players including ReverbNation, PledgeMusic, TuneCore acquiring startups to expand their distribution offerings.

Amazon Planning To “Disrupt” Global Ticketing Industry. In one of the recent job postings, Amazon said it is looking to hire new employees “to develop our international expansion strategy for Europe and Asia.” The company has also been hiring Amazon Tickets employees at its headquarters in Seattle, potentially signaling plans for a U.S. ticketing business.

Black Friday Sparks Streaming Discount Deals. Spotify, Amazon, and Google have all launched new discount deals [paywall] which, while not all explicitly Black Friday branded, launched alongside the general shopping mania of the event.

Downtown Music CEO Sends Post-Election Letter To Staff. “As first steps, we are taking this opportunity to add volunteer hours, to be used at your discretion, alongside vacation, sick, and personal days. In addition, we are planning to ramp up the number of philanthropic and community building activities company-wide.”

Fidel Castro Dies: The Politics of Music Under the Cuban Leader’s Reign. Billboard writer Leila Cobo takes a deep look at the “often damaging, but also uplifting” impact Castro had on the Cuban music industry and its artists.

Our best wishes for a great week! – MediaNet

Follow MediaNet! – Facebook | Twitter | LinkedIn | Medium

Have questions about how Medianet can help your digital music business? Ask us here. Want a topic or insight published on this blog? Ask us here.

RECAP: NMPA and Internet Assoc. Send Trump Wish-Lists, SACEM Helps Take Down What.CD, Streaming Trial-Hoppers

Posted by Glen Sears, Editorial Content Manager | November 21, 2016 9:10 am | No Comments

donaldtrump1250

Music Publishers Send President-Elect Trump Their Wish List

Story of the Week
Many in the music community have argued that the Obama administration has a too cozy relationship with tech, particularly Google. David Israelite, who helms the National Music Publisher’s Association, hopes a Trump Oval Office could be more friendly to music rights holders than the Obama Administration, and laid out a wish list in a letter to the president-elect.

“Intellectual property has been the victim of increasing pressure by Internet and digital companies who want to make other people’s private property free. The ultimate victim will be the music itself, after all incentives to create have been removed. We can resist this trend by advocating for strong and fair copyright policies which are the bedrock of our great nation’s artistic tradition.”

“Songwriters are under attack by overregulation and degradation by Washington bureaucracy. We are hopeful that your administration is a sign of change for them – and that under your leadership they will be able to profit from the work they produce in a fair and free-market way, as other property owners do.”

Read the full letter on Hypebot.

Top Music News Stories

Tech Giants Send Trump a Roadmap on Copyright, Encryption, Net Neutrality. A trade group that represents Facebook, Google and Amazon also sent a letter to President-elect Donald Trump on Monday that included a roadmap of key policy priorities covering topics like immigration and net neutrality, as well as copyright and patent reform.

U.S. Copyright Office Wants More Feedback On Safe Harbors. Announcing its second call for submissions, the U.S. Copyright Office wrote last week that this was “an opportunity for interested parties to reply or expand upon issues raised in written comments [previously] submitted and during the public roundtables held in May.”

Commercial Radio Group Files Antitrust Lawsuit Against Irving Azoff’s Global Music Rights. A group representing 10,000 commercial radio stations has filed a lawsuit against Irving Azoff’s Global Music Rights, hoping to force the performance rights organization to submit to Department of Justice-controlled pricing, similar to other PROs like ASCAP and BMI.

SACEM Confirms Role In What.Cd Shutdown. According to the rights group, What.CD’s closure “puts an ends to activities estimated to cost music creators €41 million,” or roughly $43 million.

BMG Deepens Ties With Chinese E-Commerce Giant Alibaba. Included in the expanded agreement is a three-year extension of the two companies’ existing digital music distribution agreement that gives Alibaba’s digital music platforms Ali Music, Xiami, and Ali Planet access to BMG’s catalog.

Prince’s Estate Sues Roc Nation Over Tidal’s Claim on Streaming Rights. Roc Nation and Tidal believe that an arrangement with NPG dated Aug. 1, 2015 gave it the right to “exclusively stream [Prince’s] entire catalog of music, with limited exceptions,” which NPG alleges is not true.

More Than 25% Of Music Subscribers May Be ‘Trial Hoppers.’ In a new study MiDiA Research claims that more than a quarter of music subscribers hop from one trial to another with different email addresses.

Our best wishes for a great week! – MediaNet

Follow MediaNet! – Facebook | Twitter | LinkedIn | Medium

Have questions about how Medianet can help your digital music business? Ask us here. Want a topic or insight published on this blog? Ask us here.

RECAP: DOJ Appeals Stanton BMI Decision, Cox Appeals BMG Verdict, Facebook Moves Toward Media

Posted by Glen Sears, Editorial Content Manager | November 14, 2016 9:23 am | No Comments

congress-650px

Dept. of Justice Appeals BMI Consent Decree Decision

Story of the Week
The Department of Justice has filed a notice that it is appealing a September ruling by federal Judge Louis Stanton that concluded fractional licensing is allowed under the BMI consent decree. This appeal, which was expected, comes after the Judge KO’d the DOJ’s interpretation that the consent decree requires 100 percent licensing, AKA full-works licensing.

“While we hoped the DOJ would accept Judge Stanton’s decision, we are not surprised it chose to file an appeal,” BMI president/CEO Mike O’Neill said in a statement. “It is unfortunate that the DOJ continues to fight for an interpretation of BMI’s consent decree that is at odds with hundreds of thousands of songwriters and composers, the country’s two largest performing rights organizations, numerous publishers and members of the music community, members of Congress, a U.S. Governor, the U.S. Copyright Office and, in Judge Stanton, a federal judge.”

“We believe Judge Stanton’s decision is correct and look forward to defending our position in the Court of Appeals for the Second Circuit.”

Read the full story on Billboard.

Top Music News Stories

Cox Communications Appeals Against $25m BMG Verdict. Cox has said it is entitled to a new trial against music publisher BMG Rights Management because of several errors by a federal judge in Virginia.

Amazon Music Unlimited lands in the UK, Germany, and Austria. One month after the new on-demand streaming service launched in the U.S. Amazon has brought the service to the U.K.; Germany and Austria are close behind.

Apple Aquires Tech, Talent Of Bankrupt Music Streamer Omnifone. According to sources from TechCrunch, Apple hired at least 16 employees and purchased select technology from Omnifone, an early player in streaming music services.

SoundCloud On Acquisition Talk: ‘There Is A Lot Of Interest In Us.’ “We are very determined that we are building a sustainable platform,” he said. “We are focused on the long game here and it has been a long time coming.”

Napster Posted A $1.6m Profit For Its Latest Quarter. Napster recorded a net profit of just over $1.6m in the third quarter of 2016, according to the financial results of RealNetworks, which has a 42% ownership stake in the music streamer.

“Facebook Is Finally Ready To Become A Media Company.” According to analyst Mark Mulligan, Facebook “is now about to start looking and behaving much more like a media company, but in doing so it will rewrite the rule book on what a media company is.”

Orlando Buys Pulse Nightclub, Plans to Turn It Into Memorial. “This location is now a permanent part of Orlando’s history, it’s the site of the most tragic event that has ever occurred in the City of Orlando. We want our entire community to be a part of this site.”

Finally last week, the music industry lost a major talent in Leonard Cohen. As a songwriter, poet, singer, and popular icon, Cohen contributed so much to our industry and will be remembered fondly in our hearts.

Our best wishes for a great week! – MediaNet

Follow MediaNet! – Facebook | Twitter | LinkedIn | Medium

Have questions about how Medianet can help your digital music business? Ask us here. Want a topic or insight published on this blog? Ask us here.

RECAP: GEMA & YouTube Reach Deal, YouTube Red Struggles, Napster & Spotify Expand

Posted by Glen Sears, Editorial Content Manager | November 7, 2016 9:39 am | No Comments

15899044_304

GEMA Finally Loosens Its Grip on YouTube in Germany

Story of the Week
It’s been one of the biggest stand-offs in digital music history – but YouTube and German collection society GEMA have finally reached a licensing agreement. The deal means that scores of previously unlicensed – and therefore previously unavailable – music videos will now be playable in the region.

YouTube’s Head of International Music Partnerships, Christophe Muller said: “We’re committed to ensuring that writers, composers and publishers continue to be paid fairly, and that our users are able to enjoy their favorite songs and discover new music on the platform.
Read the details of the deal on Music Business Worldwide.

Top Music News Stories

Report Claims 1.5m Paying Subscribers For YouTube Red. The Verge claims, “According to multiple sources with knowledge of the situation, YouTube Red had 1.5 million paying subscribers as of late summer, with another 1 million users signed up on a trial basis.”

Vimeo to Begin Offering Subscription Video Services. The company, which has long made money off of its premium subscription for video creators, now wants to create a consumer-facing subscription business.

Pan-European Licensing Hub ICE Signs Deal With SoundCloud. The deal follows a licensing agreement between SoundCloud and U.K. collecting society PRS for Music in December last year that brought an end to PRS’ suit against the Berlin-based startup over unpaid royalties.

Sony Sees Music Revenues Jump Thanks to Streaming. The company also writes that its acquisition of the other half of Sony/ATV from Michael Jackson’s estate was finalized last month, (September), for which it paid $750 million.

Napster Announces a Slate of Partnerships to Inflate Its User Base. The streaming service laid out its plans for partnering with Sprint, Virgin Mobile, airline Lufthansa, retailer Aldi, and Boost Mobile and increasing their number of monthly active users.

Spotify Acquires Subscriber Analytics Firm Preact. Preact is a four-year-old startup that utilizes machine learning and audience behavior metrics via social media to draw and retain subscribers.

Is Facebook The Musicians Friend Or A Massive Infringer? In this piece from Artist Rights Watch, Chris Castle dives into what he sees as the evils of Facebook’s copyright infringement; “After making itself what seems to be a necessary evil for artists, Facebook hides in plain sight while still avoiding proper licensing and evoking the DMCA.”

Our best wishes for a great week! – MediaNet

Follow MediaNet! – Facebook | Twitter | LinkedIn | Medium

Have questions about how Medianet can help your digital music business? Ask us here. Want a topic or insight published on this blog? Ask us here.

RECAP: SoundExchange Wants Major Rate Increases, NMPA Wants Facebook Publishing Deals, Pandora Premium Launch Date,

Posted by Glen Sears, Editorial Content Manager | October 31, 2016 10:02 am | No Comments

SE_full_5

SoundExchange Asks U.S. Copyright Royalty Board For Major Rate Increases

Story of the Week
SoundExchange has submitted a new rate proposal and testimony in the SDARS III royalty rate proceeding from which the Copyright Royalty Board (CRB) will set rates for the years 2018-2022 for Sirius XM’s satellite radio service, as well as, cable/satellite TV music services provided by Music Choice and Muzak.

SoundExchange has proposed a rate that is the greater of either 23% of revenue or $2.48 per subscriber per month in 2018 with annual increases. The current rates for Sirius XM are 10.5% of Sirius XM’s “Gross Revenues” in 2016 and 11% in 2017. For Music Choice and Muzak, SoundExchange has proposed a per subscriber per month rate starting at $ 0.019 per subscriber per month with annual increases. The current rate is 8.5% of Gross Revenues in both 2016 and 2017.

The CRB will hold a hearing beginning April 19, 2017, which will last several weeks. After final briefing by the parties, the CRB will issue its rate determination by December 15, 2017.

Read the full story on Hypebot.

Top Music News Stories

Are Higher Royalty Payments Really Coming Soon From Sirius XM? Bobby Owsinski claims “SoundExchange likes to reach for the stars when it comes to proposed rates; though these seem reasonable for everyone involved in the music business, effectively doubling a rate does put any distributor in an immediate financial hole.”

NMPA Calls For Facebook To Sign Music Publishing Deals. “Facebook’s inactivity and unresponsiveness has left publishers no other choice but to attempt to remove the music that amounts to stealing from their songwriters — To aid in this effort, NMPA and our member publishers have sent thousands of takedown requests, but this is merely a drop in the bucket.”

Does The Music Industry Need To Dump Non-Discretionary Pricing? MiDiA Research’s Mark Mulligan claims in a new blog piece that one of streaming music’s top priorities “should be to ensure that European music fans get a fair deal compared to their US peers.”

Pandora Premium Set For January After December Unveiling. “It will have all the features of Plus, so the rewinding, skipping, offline etc — but it will now include the ability to search and play, the ability to build and share playlists, taking everything offline and many, many more Pandora features that we can’t reveal now for competitive purposes,” said CEO Westergren.

Apple Music Revenues Up 22% Despite Device Decline. Despite falling device sales, “App Store revenue continued to skyrocket, while Music revenue grew by 22% thanks to the growing popularity of Apple Music,” CEO Tim Cook told analysts.

Universal Music, Avenged Sevenfold To Launch VRLIVE Virtual Reality Concert Platform. “We are excited about our partnership with Universal Music Group as it gives us the opportunity to provide the viewing audience with unprecedented levels of access,” stated VRLIVE Founder and CEO Heiner Lippman.

Sub Pop’s Founder Launched A Fun Music Remixing App. 8Stem is an extremely slick mobile app for iOS that turns remixing into a simple drag and drop process — Find a song you like (Seattle-based Merge signee Telekinesis jumped out at me), click Remix This, and the app will lay it out, broken down into wave forms and sections.

Our best wishes for a great week! – MediaNet

Follow MediaNet! – Facebook | Twitter | LinkedIn | Medium

Have questions about how Medianet can help your digital music business? Ask us here. Want a topic or insight published on this blog? Ask us here.

The MediaNet Blog

Insights, News, Announcements, and Updates on MediaNet and the ever-changing world of music, technology, industry, and law.

Get Weekly Music News Updates Directly To Your Inbox!

Recent posts

Digest: Soundcloud Is/Isn’t Running Out of Cash, SESAC Sells to Blackstone (for Maybe A Lot?)
January 9, 2017
Digest: SoundExchange Revenue To Drop in 2017, Alibaba Investing $7.2 Billion in Entertainment
January 3, 2017
Industry News Recap: MIDiA’s 2017 Predictions, APRA Boosts U.S. Presence, Ticket Bots Under Fire from Congress
December 19, 2016

Archive

Categories

Powered by WordPress