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Big Shake-Up to Music Licensing Regime Embraced by U.S. Copyright Office
02-05-2015, 02:16 PM,
#1
Big Shake-Up to Music Licensing Regime Embraced by U.S. Copyright Office
Quote:In a 245-page report issued on Thursday, the U.S. Copyright Office is throwing its weight behind what would be the most radical changes to how music is licensed in nearly a half century.

...Some of the proposals figure to spark controversy, debate and furious lobbying should the U.S. Congress tackle a broad overhaul of music licensing.
For example, the Copyright Office wants to extend the public performance right in sound recordings to terrestrial radio broadcasts — a big shift from the time when publicity was seen at payment enough to copyright owners. Also proposed is fully federalizing pre-1972 recordings, a change that would come on the heels of lawsuits against SiriusXM, Pandora and others who have been exploiting older sound recordings without compensation to their owners.
Many of the changes would be boon to those who hold or manage public performance rights.
The Copyright Office endorses reconsidering 75-year-old antitrust decrees for ASCAP and BMI and also wishes to give music rights owners such as publishers the ability to withdraw streaming rights from services. What's more, the proposal would essentially turn performance rights organizations into "music rights organizations" with the ability to bundle reproduction, distribution and performance rights together.
The report also envisions changes to which rights are subject to compulsory blanket licensing and which rights will be subject to free market negotiations. Certain digital uses and public television uses of music may fall under fixed rates while in other circumstances, music rights owners will be given more flexibility to seek bigger payouts. For the types of licensing that are subject to rate-setting, the Copyright Office is looking to streamline the procedures.
Other changes including allowing SoundExchange to administer record producer payments; having those in the music industry work on creating an authoritative public database of music data; and taking care of songwriters and recording artists who want more transparency in the deal-making between labels and publishers on one side and services like Spotify on the other.

...ASCAP president Paul Williams has this to say:

"With its report today, the US Copyright Office was clear: the current music licensing system needs reform and fast. The report emphasizes how the current system undervalues musical works – something many of our members experience daily. The many proposed updates – particularly recommendations intended to make the system more equitable for songwriters – underscore yet again the inefficiency of the current system for music fans and creators alike. As outlined in the report, the current marketplace is strained by the 70-year old consent decree regime and is not appropriately responsive to the free market, particularly in our new digital world. As we continue to advocate for our members in Washington, today’s report is an important step towards meaningful reform."

http://www.hollywoodreporter.com/thr-esq...ing-770512

hat tip to Dina LaPolt
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