MediaNet Blog

4 Reasons to Use MediaNet for Developing Your Digital Music Product

Posted by Glen Sears, Editorial Content Manager | May 4, 2016 3:58 pm | No Comments

(Additional contribution by Dan Charlson)

Many people ask us, “Why should I use MediaNet? Building a digital music product can’t be that difficult or expensive.” After 15 years in the digital music industry, there’s one thing we know for sure—building a digital music product alone is that difficult and expensive.

Music licensing is deeply complex. Multi-format file distribution requires massive server resources. Most importantly, paying royalties accurately to the law requires a content library that intelligently tracks ownership information for labels and publishers. Only MediaNet has a library like that, available through our MN Open API or Enterprise solutions.

There are four major areas MediaNet offers product teams and developers the tools they need:

  1. Catalog and Label Relationships (Majors, Indies, Aggregators)
  2. Content Fulfillment and Delivery (API, Download/Streaming Servers, CDN)
  3. Rights & Royalty Reporting and Administration (Labels, Publishers, PROs)
  4. Data Access & Management (XML Feeds, Metadata, Trending, Analytics)

Complications in digital music arise when data must be sent between providers for different services. Some companies offer APIs for catalog and metadata, others can administer royalty payments. MediaNet is the company can do it all under one roof, with full transparency at a time when the music industry is turning against the black box.

Sign up for MN Open Now!

Beyond accountability and convenience, the MediaNet Platform is dependable and up-to-date, with rock-solid servers. MediaNet has powered the world’s best-loved music apps. Diverse services like Beats Music, MOG, Google Play, Songza, Yahoo! Music, AOL Music, MTV Urge, Turntable.fm, and so many more. Those services have enjoyed deployment in nine territories—US, Canada, UK, France, Germany, Ireland, India, Australia, and South Africa.

In short, startups and enterprise clients use MediaNet because we:

  • Manage the most complicated digital music installations in the world. If it’s complicated, we get the call.
  • Are pure B2B; we have no consumer-facing product.
  • Are the only company with the tools to ensure all rights holders are paid for every play.
  • Are prepared for the scale of any start-up’s growth; if you go viral, our system won’t even hiccup.

Think of your music service like an iceberg. The visible parts of your service are your focus: user interface, client applications, marketing, ecommerce, and customer support. Everything else? MediaNet does the invisible work, operating out of sight to power your service. We’ve built the tools, systems, and processes to power these services simultaneously, at scale and with maximum availability.

Our music catalog is always growing. MediaNet processes 200,000 new tracks, and 1-2 million updates to our library, per week. We add an average of 5M tracks every year to our catalog. We manage over 2 petabytes of physical storage for these files in 11 formats. Despite the availability of scalable cloud storage, our methodology is more stable and costs less over the long term than using a cloud service.

Contact us about an Enterprise solution!

Growth at this level requires a dizzying amount of data management. Content deliveries (assets, art, XML feeds addressing metadata, rights, and pricing) in multiple formats being delivered from 1000’s of sources that cover over 50 territories and currencies—all while maintaining proper ownership chains for every track so rights owners can be paid.

Additionally, we work with global Content Distribution Network (CDN) partners to deliver an optimal streaming experience to end users everywhere. Akamai, Level3, Verizon-EdgeCast, and Limelight CDN technology ensure that our massive library of groomed content is delivered at better speeds and lower cost than individual services can achieve. We pass 100% of those savings onto our partners (that’s you).

MediaNet is a unique company. We’re the only B2B digital music platform on the planet with a digital content library that intelligently understands the entire ownership structure of each track. We process data at levels only search giants like Google and Facebook can. We have one foot in technology, and the other foot in the music industry.

MediaNet offers the only available digital music platform that can license, distribute, report, and pay under one roof. Call or email us to find out exactly what we can do for you.

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RECAP: Apple Music Hits New Milestone, Universal Metadata Standards, ASCAP has Another $1Bn Year

Posted by Glen Sears, Editorial Content Manager | May 2, 2016 9:36 am | No Comments

apple-music-payouts

Story of the Week

Apple Music Grows to 13 Million Subscribers
Apple Music has surpassed 13 million subscribers, Apple CEO Tim Cook revealed Tuesday. That represents growth of 2 million subscribers since the company last disclosed numbers in February.

Apple announced the growth in Apple Music subscribers as part of its fiscal second-quarter earnings release, during which it reported its first revenue declines since 2003.

But, the Cupertino, Calif.-based tech giant still has a ways to go before it catches up to streaming heavyweight Spotify. The company boasts 30 million paying subscribers as of March.

Read more on Apple Insider.

Top Music News Stories

Spotify Denies Security Breach After Report of Stolen Passwords, Addresses. According to a report at TechCrunch, some users’ email addresses, passwords and other account information appeared on the Pastebin website.

Future Of Music Coalition CEO Casey Rae On The Value Of Universal Data Standards. Let’s commit to universally deployed data standards on both sides of the music copyright, common database environments for expedient matching and resolution of discrepancies, along with a protocol for universal information updates when additional data is modified by authorized parties.”

A Surprisingly Interesting Dive Into Classical Music Metadata. Breaking down how such metadata works, and what standards need to be followed in order to ensure that DSP’s classical content remains up to snuff.

Pandora’s First Quarter Financials: Ad Revenue Jumps Along With Music Costs. With revenue jumping 29 percent from nearly $231 million in the corresponding quarter in the prior year, Pandora continues its growth story—but its losses also widened, to $115.7 million from the $48.3 million loss it had in the corresponding quarter in the prior year.

ASCAP Reports $1 Billion in Revenue, Again. Within that, domestic receipts grew to $716.8 million, up 9.3 percent from the prior year’s total of $655.8 million. ASCAP also increased domestic distribution by 6.2 percent, to $573.5 million.

YouTube Changes Content ID to Allow Money Collection During Rights Investigations. Internet video giant YouTube has made a change in its Content ID evaluation process that will benefit creators whose work has been improperly challenged by a rights holder.

Regulatory Filing Reveals UMG’s Massive Effort To Block Pirates. A Universal Music Group filing with the U.S. Copyright office designed to bolster the case that Safe Harbor standards need an overhaul, reveals the lengths that the company went to limit piracy on Taylor Swift’s 2014 release ‘1989.’

Our best wishes for a great week! – MediaNet

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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. Other questions or comments? Let us know!

RECAP: David Lowery Motion Claims Songwriters Being “Misled”, TIDAL Gets Beyonce Exclusive, UMG Wins Big

Posted by Glen Sears, Editorial Content Manager | April 25, 2016 10:38 am | No Comments

lowery

Story of the Week

David Lowery Files Motion To Stop Spotify, NMPA From “Misleading” Songwriters
Songwriters are being “misled” by being encouraged to sign onto a settlement it made with the National Music Publishers Association, according to a motion filed by attorneys representing David Lowery, who is suing the music streamer for use of his songs without a license.

The NMPA and Spotify had reached a settlement for music publishers and songwriters to receive royalties for “unmatched” compositions used on Spotify in the U.S. from a $25 million fund. In addition to identifying the rightful recipients of the royalties, the agreement establishes a bonus compensation fund reported to add $5 million to the settlement.

According to the filings, Lowery’s team alleges that Spotify is misleading songwriters to encourage them to sign the NMPA brokered agreement. They are demanding copies of all communications between Spotify, publishers and songwriters related to the deal, along with additional payments for damages.

Read more on Hypebot.

Top Music News Stories

$84M Class Action Suit Filed Against Kanye West, Jay Z Over Tidal Album Release. A fan of Kanye West fan is suing the star and and the streaming music service Tidal saying that the falsely lured users into subscriptions based on the promise that it would be the exclusive outlet for his latest album, “The Life Of Pablo.”

Beyoncé Releases Surprise Album ‘Lemonade,’ Will Stream Exclusively On TIDAL Forever. Saturday night Beyoncé became the latest superstar TIDAL artist-owner to release their new album exclusively on the platform, following Kanye West and Rhianna–the much anticipated 12 track album sent fans into a frenzy on social media.

Universal Wins Big Ruling in Copyright Lawsuit Over In-Flight Music. Universal Music and Capitol Records have navigated the complexities of international air travel to score a summary judgment ruling that when it gets to a jury next month to decide damages, could be worth hundreds of millions of dollars.

“Compulsory Licenses Must Require Display Of Songwriter Credits.” Chris Castle argues that the U.S. government should require that digital music services provide proper attribution to songwriters when compulsory licenses relating to said artist are obtained.

Facebook Launches Its Version Of Content ID. Following complaints from content creators that their YouTube videos have been appearing on Facebook after being posted without the creator’s consent, the social network has released its own version of YouTube’s fabled Content ID.

YouTube Defends Content ID Following Music Labels’ Criticism. It represents the latest front in the war of words between YouTube and the music industry at a time when the service is preparing to negotiate new licensing deals – and also when reviews of safe-harbour legislation are underway on both sides of the Atlantic.

‘Alibaba Planet’ is China’s Latest Music Platform. “Music fans can use their smartphones to follow their favourite stars, participate in fan activities, purchase related merchandise and watch live shows of cyber celebrities and popular singers, in addition to listening to streaming songs,” says the internet giant.

Prince Fans Pay Tribute, Buying 1M Tracks, 240K Albums In U.S. On Day Of His Death. The unprecedented stats were compiled by BuzzAngle Music, a sales & streaming tracking service of music technology company Border City Media.

Rhapsody Names Its First-Ever CEO. Streaming service Rhapsody and its international version Napster have been operating without a full-time leader at the top, until now, as the Seattle-based parent company Rhapsody International has announced it has hired Mike Davis as the company’s new — and first — CEO.

Our best wishes for a great week! – MediaNet

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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. Other questions or comments? Let us know!

Recap: IFPI 2016 Global Music Report, Soundcloud Hits Europe, Facebook Tackles ‘Freebooting’

Posted by Glen Sears, Editorial Content Manager | April 18, 2016 9:44 am | No Comments

IFPI releases its 2016 Global Music Report

Story of the Week

IFPI 2016 Global Music Report: Digital Revenues Surpass Physical for the First Time
The global recorded music business reached an important tipping point in 2015: Digital services now account for 45 percent of recorded music revenue and outstripped physical revenue for the first time, according to numbers released Wednesday by the global trade body IFPI.

The global snapshot is equally positive. Low single-digit revenue growth was registered by North America (+1.4 percent) and Europe (+2.3 percent) while Asia improved 5.7 percent and Latin America rose 11.8 percent behind 80.4-percent growth in streaming revenue.

The most momentum happened with subscription services. Subscription revenue, excluding revenue from some services’ free tiers, jumped $58.9 million to $2 billion. The number of subscribers grew 66 percent to 68 million. The number of new subscribers, 27 million, was twice the 28-million subscriber gain in 2014 and over three times the growth in 2013.

Read the full story on Billboard.

Top Music News Stories

Analyst Mark Mulligan Dives Into IFPI’s GM2016 Report, Surfaces Surprising Takeaways. “Revenue was flat, downloads and physical are both still falling, streaming growth accelerated, ad supported revenue fell, and streaming ARPU is up but subscription ARPU is down.

War of Words: Labels and Trade Groups Target YouTube’s ‘Value Gap.’ Labels define this “value gap” as the difference between what YouTube actually pays and what they believe it should pay. Labels argue that safe harbor “distorts” the market by giving services leverage in negotiations.

SoundCloud and Sony/ATV Announce Licensing Deal in Europe. SoundCloud wants to take its GO paid subscription service global; and a new deal with Sony/ATV, who has had a deal with SoundCloud in the U.S. since the 2014 launch of its monetization efforts, extends the partnership to Europe.

The Launch Of SoundCloud Go Leaves Unanswered Questions. Nicole Daley, speaking about Soundcloud Go, says “although the service has interesting potential, there remain several unanswered questions regarding things like how artists will get paid, or how royalties are being calculated.”

Facebook Tackles ‘Freebooting’ With Rights Manager Tool. The social media giant has launched Rights Manager, an admin tool which is intended to curb the dubious practice where Business Pages and celebs can rip videos from elsewhere, repost the copyrighted content on Facebook and grow their brands while robbing the content creators of views.

CÜR Media Raises $2M To Pay Labels, Launch Streaming Service Aimed At Casual Music Fans. CÜR Media has announced the completion of $2 million in financing led by Intuitive Venture Partners and Katalyst Securities. CÜR Music, currently in public beta, is a streaming music service aimed at more casual music fans with tiers beginning at $1.99 per month after a 14-day free trial.

ASACP Sues 10 Venues That Refuse To Pay To Use Music. Over the past two years, and in many cases longer, ASCAP says it made numerous attempts to offer to license these venues and educate the owners about their obligations under federal law.

Our best wishes for a great week! – MediaNet

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Recap: Sony Accuses Rdio of Fraud, TuneCore Arrives in Germany, Streaming Hits New Milestone

Posted by Glen Sears, Editorial Content Manager | April 11, 2016 10:02 am | No Comments

pandora rdio medianet soundcheck

Story of the Week

Sony Music Files Fraud Lawsuit Against Rdio Executives Over Pandora Deal
In a new lawsuit, Sony Music alleges it was defrauded of millions when the on-demand service Rdio came to agreement with Pandora and subsequently filed for Chapter 11 bankruptcy last November.

The complaint states: “Unbeknownst to SME, at the same time that Rdio was negotiating the amendment to its Content Agreement with SME, it was simultaneously negotiating its deal with Pandora — under which Rdio would file for bankruptcy; Pandora would buy Rdio’s assets out of bankruptcy; defendant Bay (as part-owner, executive officer, and director of Rdio’s secured creditor) would expect to be first in line to receive proceeds of the Pandora deal; and SME (as an unsecured creditor) would receive pennies on the dollar for the amounts owed to it under the amended Content Agreement.”

Sony says that Rdio purposely kept its Pandora negotiations and impending bankruptcy secret so as to hold back Sony from demanding immediate payment of the $5.5 million and “inducing” extensions and a restructuring of payment obligations.
Read more on Billboard.

Top Music News Stories

TuneCore Launches In Germany. This marks the fifth international expansion for the company which added the UK and Australian markets in 2015.

Rhapsody, Napster Launch The Listener Network Designed To Make Music More Social. Powered by its patent-pending Music Intelligence Engine, The Listener Network connects Rhapsody and Napster users globally to form communities of music lovers with similar tastes to share and discover new music.

Streaming Hits 67.5 Million Subscribers But Identity Crisis Looms. “17% of music buyers account for 61% of spending…The question the music industry must now answer is how seriously does it want to treat the opportunity represented by these [remaining] consumers?”

iHeartMedia Gets More Time To Resolve Its Massive Debt Problems. Interest on the debt is a drag on earnings; in spite of generating $6.5 billion in revenues in 2015, iHeart paid $1.8 billion in interest expense and ended with a total net loss of $651 million.

Bandcamp Has Paid Artists $150M in 8 Years. Amidst the current streaming wars, Bandcamp has largely stayed above the fray without directly competing with the biggest players but serving as an alternative favored in large part by independent artists and labels.

3 Major Players That Could Disrupt The Streaming Music Industry. According to Hugh McIntyre of Forbes, Amazon, Samsung, and Soundcloud have enough leverage and resources to potentially be considered viable challengers.

SFX Bankruptcy Court Allocates $15 Million In Payments To Artists. The judge overseeing the SFX bankruptcy gave top tier EDM artists and their agents reason to celebrate this week with the allocation of $15 million to be paid to artists performing at the beleaguered promoter’s festivals this summer.

Our best wishes for a great week! – MediaNet

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Recap: Soundcloud Goes Premium, TIDAL Sues Previous Owner, UMPG Abandons ASCAP

Posted by Glen Sears, Editorial Content Manager | April 4, 2016 9:47 am | No Comments

Soundcloud Go Music Recap Soundcheck Medianet

Story of the Week

Soundcloud Go Paid Subscription Service Finally Launches in the U.S.
The launch comes shortly after SoundCloud reached a licensing deal with Sony Music, the third and final major label to sign on the dotted line, also joining indie agency Merlin and various publishers.

Details? The official price for SoundCloud Go will be $9.99 a month – with a 30-day free trial – with features including offline listening; a catalogue of 125m tracks swelled by the catalogues of those partner labels; and no advertising.

Why “official” price? Because SoundCloud Go is launching through the company’s iOS and Android apps: it’ll cost $9.99 on Android but $12.99 on iOS, due to Apple’s 30% cut of in-app subscriptions. Meanwhile, musicians and other creators who already pay for SoundCloud’s ‘Pro Unlimited’ features will get a discounted rate of $4.99 a month on SoundCloud Go for the first six months.

Read the full story on Music Ally.

Top Music News Stories

SoundCloud Premium Faces Unique And Difficult Challenges. Industry analyst Mark Mulligan says “the current model will not maximize Soundcloud’s vast potential—instead of Spotify-like 15-20% conversion rates, expect King and Supercell-like 1.5-5% rates.”

YouTube Says It Already Pays A Whole Lot Of Royalties. YouTube’s powerful position in the industry makes it a tough financial nut to crack after coming under fire for underpaying on the substantial percentage of total music streams delivered by the service.

What A New Pandora CEO Means For Artists, Labels And Investors. Chris Castle believes Tim Westergren has integrity, but must address Pandora’s overhead, litigation, and lobbying issues to truly turn the company around.

Music Industry A-Listers Call on Congress to Reform Copyright Act. “Artists spanning a variety of genres and generations are submitting comments to the federal government’s U.S. Copyright Office today and tomorrow demanding reforms to the antiquated DMCA which forces creators to police the entire Internet for instances of theft, placing an undue burden on these artists and unfairly favoring technology companies and rogue pirate sites.”

Spotify Raises $1 Billion in Convertible Debt Financing. Convertible debt can be exchanged for stock later and comes with the advantage that it does not require a company valuation at the time of investment and hence does not risk diluting stock value when Spotify goes public.

David Lowery Talks Lawsuits, Licensing, and Free Streaming. “Maybe it was naive of us, but we thought we would solve this problem for everybody – and that services, investors in those services and even the entire music industry might welcome that solution.”

Jay Z Serves Legal Papers to Former Tidal Owners Over ‘Misleading’ Subscriber Numbers. “It became clear after taking control of Tidal and conducting our own audit that the total number of subscribers was actually well below the 540,000 reported to us by the prior owners—as a result, we have now served legal notice to parties involved in the sale.

Bankrupt SFX Forced To Pay Artists 100% In Advance, CEO Sillerman Shares Resignation Letter. “As we enter this next phase, despite the place we find ourselves, there is much to be proud of. It remains incumbent on all of us to refocus our energies and find the path to success that is out there. I am confident that with renewed discipline combined with passion and creativity that our original goals can and will be met.”

UMPG, Ole Pull Production Music Catalogs From ASCAP, Move Them to SESAC. The move has enraged several songwriters groups, which have aligned under the banner MusicAnswers to protest the moves, claiming that writers alone should have the right to decide their PRO affiliation, and that publishers do not have the right to change it unilaterally.

Our best wishes for a great week! – MediaNet

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Recap: Pandora Founder Back as CEO, RIAA Releases 2015 Industry Numbers, YouTube Monetization Explained

Posted by Glen Sears, Editorial Content Manager | March 28, 2016 10:38 am | No Comments

Pandora CEO

Story of the Week

Pandora Names Founder Tim Westergren CEO As Part Of Broad Executive Restructuring
Brian McAndrews is out and founder Tim Westergren is in, as the CEO of Pandora, effective immediately. The move is part of a broader restructuring at Pandora, aimed at restoring investor confidence and in anticipation of a possible future sale. Tim Westergren has long been the public face of Pandora, preaching his Music Genome gospel to literally anyone who would listen. Pushed aside in the board room as the company grew and went public, Westergren is now back in charge as Pandora’s new CEO—which is likely great news for artists.

A former touring musician, Tim Westergren has always been a champion of Pandora’s efforts to provide artist data and marketing opportunities. “I am incredibly excited about the future of Pandora. We’re on the cusp of realizing an extraordinary vision: fundamentally changing the way listeners discover and enjoy music, and the way artists build and sustain their careers,” said Westergren. “We are pursuing a once-in-a-generation opportunity to create a massive, vibrant music marketplace. We have the audience, the technology infrastructure, the monetization engine and most importantly the right team with the passion and commitment to do it.”

Current independent member Jim Feuille is Chairman of the Board. “Tim is the ideal CEO for Pandora as we embark on our next phase of growth,” he said in a statement. “As the original founder, Tim carries the vision for how Pandora can transform the music industry and he is uniquely able to connect with listeners, music makers and employees.”

Read more on Hypebot…

Top Music News Headlines

U.S. Recording Industry Sees Slight Uptick in Revenue Last Year, Streaming Dominates Digital. The 2015 numbers, released last week by the RIAA, arrive bearing both good and bad news for the players in the digital music space.

Vinyl Sales Made More Than YouTube, Spotify and Soundcloud Ads Combined… RIAA figures revealed that vinyl sales made $416 million, while the combined total ad revenue from streaming sites Soundcloud, Spotify and YouTube accounted for only $385 million.

…But Vinyl Sales May Not Have Made More Than Streaming. The RIAA’s vinyl revenue number is based on gross retail sales, but the ad supported streaming revenue number it is compared to is only the net amount paid to labels.

Cracker Barrel Joins the Vinyl ‘Revolution.’ The Southern-themed retailer and roadside restaurant chain with a long track record in country, bluegrass, and faith-based CD sales has officially entered the still-booming vinyl market for the first time, with an exclusive numbered collector’s edition of country duo Joey & Rory’s Hymns That Are Important To Us.

“The Music Industry Finds Itself Fighting Over Pennies While Waving Goodbye To Dollars.” [CHART] A New York Times analysis of the statistics shared this week by the RIAA leads to a sobering conclusion: “…the big sales numbers that have sustained the recorded music business for years are way down, and it is hard to see how they could ever return to where they were even a decade ago.”

Where’s The Money? YouTube Revenues Explained. Chris Castle clears the fog surrounding how revenue from YouTube uploads is determined, as well as how the video sharing site’s content management system functions—and whether or not monetization is the best choice for you.

SoundCloud’s Next Move Will Change the Streaming Game (Again). “It’s a very organic, user-friendly ­experience that’s really social,” says a major-label executive who has seen a ­demonstration that includes the paid tier. “It’s true to the way SoundCloud works now.”

BandsInTown and Ticketmaster Debut In-App Ticket Purchases. With the likes of Pandora and Spotify thinking hard about how ticketing fits in to their businesses, startups like Dice iterating rapidly, and Songkick planning big things after its merger with CrowdSurge, it’s an encouraging time for the live market.

Grant Bussinger Claims We Need An Open Source Music Industry. Warped Records’ Head of Digital claims “There is as an opportunity to leverage the same resources and adopt the same guiding principles that have seen success everywhere else.”

Our best wishes for a great week! – MediaNet

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Recap: Spotify & NMPA Reach Settlement, Music Metadata and Streaming Focuses of SXSW

Posted by Glen Sears, Editorial Content Manager | March 21, 2016 9:49 am | No Comments

Spotify and NMPA reach $30M settlement

Story of the Week

Spotify and NMPA Reach $30 Million Settlement Agreement Over Unpaid Royalties
The National Music Publishers’ Association (NMPA) has announced its successful brokering of a settlement between Spotify and its constituents over unmatched (songs that haven’t received payment because Spotify didn’t identify their publishers) and unpaid song royalties, a topic that has given rise to several legal cases against the streaming services over the past few months.

The settlement process will begin in early April with a three-month opt-in period that will allow NMPA members to participate in the disbursement of an estimated $30 million payout pool. The agreement covers the period between Spotify’s inception though June 30, 2017, with an automatic renewal period tacked on through for another 2 years, through June 30, 2019.

By claiming and proving ownership of songs in the unpaid and unmatched pool of songs, publishers will be paid their share from actual plays of those songs to be drawn from that $25 million. A portal for claimants will open following the conclusion of the opt-in period. In addition remuneration from their claims, publishers will receive further payment, based on each publisher’s estimated market share as calculated by the NMPA, from the $5 million penalty pool.

Finally, any funds left over from the pending and unmatched funding pools for each period will be divided among participating publishers based on their market share on Spotify during that royalty period.

Finish reading the story on Billboard…

Top Music News Stories

Songwriters And Publishers Should Think Twice Before Accepting Spotify’s Settlement. The law firm representing David Lowery in his class action suit against Spotify warns that “It is impossible to determine the true benefit to songwriters because the settlement negotiations between NMPA and Spotify have been conducted without Court oversight.”

Bad Data Is The Worm In The Streaming Music Apple. As one senior executive at one of the biggest global tech companies said, “We love rights fragmentation and complexity: it makes it really difficult for anyone without really deep pockets to compete with us in this market.”

Transparency and Data Problems Hotly Debated During First Week of SXSW 2016. The central issue at hand is incomplete metadata attached to song recordings that are licensed to digital distributors — missing publishing information, unclear songwriting splits and the outdated, overly complex system governing it.

Sony Paid $750 Million For Stake In Sony/ATV That Michael Jackson Aquired For $41.5 Million. Music publishing is still a hot sale target at impressive multiples—and if rate renegotiations continue trending upward and streaming issues get resolved, publishers could be worth even more.

At SXSW, Pragmatism Replaces Panic About Streaming Services. Labels are figuring out how to monetize their catalogs in new ways, and although there can be improvements in how royalties are collected and distributed, the problems don’t overshadow the fact that streaming’s prominent place in the industry has become settled law.

Apple Music, Dubset Partner to Stream Previously Unlicensed Remixes and DJ Mixes. Thousands upon thousands of cool mash-ups and hour-long mixes have effectively been pulled out of the underground and placed onto the world’s second-largest music subscription service.

SoundCloud Signs Deal with Holdout Major Sony Music. “We are very excited to be working with SME,” SoundCloud CEO Alexander Ljung writes in a statement, “and cannot wait to see what we can achieve together as we continue to transform the future of music online.”

Our best wishes for a great week! – MediaNet

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Recap: 68% Smartphone Users Stream Daily, French Sales Falling, U.S. Publishing Settlement Looms

Posted by Glen Sears, Editorial Content Manager | March 14, 2016 10:43 am | No Comments

music streaming

Story of the Week

68% Of Smartphone Users Stream Music Daily
Illustrating just how pervasive streaming music has become, a new study shows that 68% of smartphone users listen to an average of 45 minutes of streaming music daily. By comparison, 71% watch video daily on their smartphones, but only for an average of 24 minutes.

According to a new Parks Associates study, digital media usage varies based on OS brand and carrier. iPhone users consume more media than Android and other operating systems. T-Mobile and Sprint customers have the highest incidence of daily music consumption among U.S. carriers – over 75% of subscribers for T-Mobile or Sprint listen to streaming music daily, versus 66% of Verizon users.

Mobile Music Streaming statistics

“Currently Amazon Prime Music is the most popular paid music subscription service among U.S. broadband households, thanks to its inclusion in Amazon Prime, but the streaming music war has intensified as the large connected entertainment companies are driving to consolidate their offerings,” said Harry Wang, Director, Health & Mobile Product Research, Parks Associates. “Apple launched Apple Music, and Google is consolidating its music offerings across its Play content store and YouTube platform. Consumers are getting more music options as the competition for users escalates.”

(via Hypebot)

Top Music News Stories

More Than 50% Americans Listen To Online Radio Weekly. The number of listeners is up from 44% last year, according to new Edison Research survey, with 126 million Americans over age 12 now listening weekly.

French Music Sales Plummeted Last Year. France was hit particularly hard with a 7% drop in 2015, and although streaming was up, it was hardly enough to counteract overall plummeting sales.

Tuesday Was The Most Important Day For Direct To Fan Music Since CDBaby & Tunecore. Three significant players in music tech placed big bets that the future of the new music industry lies in the powerful connection between artists and fans; and those companies that enable that direct connection will be the winners.

Sony Develops App For Streaming Royalty Reports. The app is only available to Sony artists in Sweden (where the app was developed) at the moment, but is expected to be rolled out to Sony artists globally later in the year.

SoundExchange Launches Free 20 Million Song Search Database. From music streamers lawsuits to takedowns on iTunes, song identification has become a major issue. To help solve the problem, SoundExchange has launched free ISRC Search Site that includes 20 million songs.

Allison Moore Hired As Chief Revenue Officer As Paid Launch Nears. New deals with the major labels require monetization and recent filings point to a company bleeding cash at alarming rate. Now an experienced digital executive has been hired to sort out the mess.

Settlement May Be In Sight For U.S. Publishing Royalties Suit. While the National Music Publishers Association (NMPA) may well be on the verge of brokering a deal with Spotify that could in turn help its rivals sort out their publishing-licensing problems, that may not be the final word.

FCC Plans to Expand Low-Income Assistance to Broadband Ahead of Privacy Rules. FCC chairman Tom Wheeler posted a lengthy letter to his office’s website that laid out the Commission’s plans for Lifeline, a federal program which provides a $10 per month subsidy to the lowest-income Americans for wired phone services.

Last week famed producer and “fifth Beatle” George Martin passed away at the age of 90. His mark on popular music will last many generations, and our thoughts go out to his family and friends. Read a retrospective of his life and career here.

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Music News Recap: Rhapsody Revenue & Losses, No Tidal Buyout, YouTube Star Not “Fair Use”

Posted by Glen Sears, Editorial Content Manager | March 7, 2016 10:22 am | No Comments

rhapsody music streaming 2015 finanicials

Story of the Week

Rhapsody Next Streaming Service to Pair Big Revenue Growth With Big Losses
Like many other streaming services, according to its 2015 financials Rhapsody has conformed to the “bigger revenues/bigger losses” streaming music growth model. The numbers, published by RealNetworks as part of its financial report, show Rhapsody’s revenues rose from $173.5M in 2014 to $202M in 2015 – growth of 16.4%. However, its net losses rose from $21.3M in 2014 to $35.5M in 2015, representing a 66.3% increase year-on-year.

This came as Rhapsody’s subscriber base grew by 45% in 2015, revealed in February in RealNetworks’ last earnings call – the company still holds a 43% stake in Rhapsody. Rhapsody reached 2M subscribers in July 2014 and 3M in July 2015. It’s thus reasonable to suggest that it had around 2.5M at the end of 2014, with 45% growth in 2015 indicating around 3.6M by the end of that year.

With Rhapsody, Spotify, Soundcloud, and others all posting major losses, and their competitors can absorb streaming losses with their income from device sales, advertising and e-commerce…2016 might be the year to talk more about what it means to succeed in streaming long term.
(more…)

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