Aussie telecom closing its music downloads store, may seek a partner instead

Australian telecommunication company Telstra announced that it is shuttering Bigpond Music, its online music download store. “The download-to-own music market has changed a lot,” a rep from Telstra said. “We believe the best way for us to continue to provide great music services to our customers is via a partner model.” Continue Reading

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iHeartMedia proposes reducing webcast royalty rates by 80%

by Brad Hill

iHeartMedia has proposed reducing the royalty rate webcasters pay to artists and labels, cutting the existing rate set for terrestrial webcasters by 80 percent. The suggested royalty amount is less than half of Pandora’s suggested rate, which in turn is about half the rate suggested by SoundExchange, which represents music labels. iHeart’s argument is based on its negotiated deal with Warner Music Group, which provides lower royalty rates in exchange for greater exposure of Warner music. Continue Reading

Spotify’s Lowlands research: Streaming supports and extends the value of live music

The inverse relationship of streaming music and music sales is well known: Streaming up, sales down. A similar symbiotic relationship exists between music concerts and music sales. But how do streaming and concerts interact? Is the relationship mutually beneficial? That’s what Spotify’s Director of Economics Will Page set out to discover in a new study. Continue Reading

Blue Music Group label withdraws from Spotify; places bet on download sales

Niche label Blue Music Group, which specializes in Scandinavian jazz and classical artists, announced yesterday that it has withdrawn its catalog from Spotify’s on-demand streaming service. The announcement, and its wording, make an interesting illustration of the tricky decision facing content owners during a time of industry disruption. Continue Reading

Garth Brooks finally going digital, but no streaming

Garth Brooks is the best-selling solo artist of all time. He has been content to sit out the digital music disruption, which has mainly occurred during a 13-year retirement. Tomorrow, though, the official Garth Brooks site will start selling downloads of Brooks’ back catalog. A new album will drop in November, and the download version will likewise be sold exclusively on the site. Continue Reading

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House hearing #2 re-treads music licensing issues; hammers radio on performance royalties

by Brad Hill

The Judiciary Committee of the U.S. House of Representatives held its second hearing on music licensing regulations, hosting a panel of music-industry executives who delivered prepared statements and answered questions. As with the first hearing on June 10, four contentious issues framed today’s proceeding:

  • Broadcast radio’s exemption from performance royalties
  • Pre-1972 recordings unprotected by copyright, and receiving no royalties
  • Uneven payments across different types of musicians
  • Consent Decrees which govern how ASCAP and BMI collect and distribute songwriter royalties

All four pillars of copyright discontent got some play today. Broadcast radio took a severe beating, but unlike the first hearing, the radio industry was represented. Continue Reading