SoundExchange 2013 recap: $590-million in royalty payments from digital services

SoundExchange, a performing rights organization (PRO) which collects and distributes royalty payments to labels and musicians for use of recordings in Internet radio streams, issued a 2013 recap. Last year SoundExchange paid out $590-million, an all-time high. Over its entire operation, the PRO has distributed about $2-billion. 2013 was SoundExchange’s 10-year anniversary.

This infographic illustrates the year-end numbers. 2013 payments increased 19 percent over 2012. Last year 226 new collectible services launched.

SoundExchange’s realm is non-interactive Internet radio (plus satellite radio and cable radio). That means Pandora and its ilk, lean-back services which do not offer on-demand access to single tracks. Multi-station platforms like ShoutCast and Live365 fall into that bucket, too. On the other side of the fence, Spotify, Rdio, Rhapsody, and Beats Music are examples of interactive (on-demand) services.

SoundExchange President Michael Huppe said, “This is further proof that consumers are streaming digital radio now more than ever.”