SoundCloud has inked a multi-territory licensing deal with PRS for Music, a UK-based organization representing songwriter and publisher rights. This arrangement will cover SoundCloud’s use of PRS’ repertoire since the audio service launched. It also supports SoundCloud in its plans for adding subscriptions and advertising in the European market next year.
In August, PRS for Music announced that it planned to take SoundCloud to court, alleging that the service did not have the required license in the UK or Europe for use of its catalog. The new licensing deal ends that litigation. But the successful deal doesn’t mean PRS sees only smooth sailing ahead. “The safe harbours in current legislation still present ambiguity, and obstruct the efficient licensing of online services, but our agreement with SoundCloud is a step in the right direction towards a more level playing field for the online marketplace,” CEO Robert Ashcroft.