The article seems focused on explaining royalties to artists, and allaying any concerns about their revenue. “Even as licensing agreements change, artists’ share of royalties from Pandora’s ad-supported radio service, the company’s greatest generator of royalties, and the way artists receive those royalties will remain the same as they ever were,” Peoples writes. Pandora will pay rights-owners for use of recordings in the ad-supported radio service through SoundExchange, same as always. Pandora’s royalty obligations for use of recordings in the ad-free services (Pandora Plus and the upcoming Pandora Premium) will be handled differently.
Pandora accounts for a large share of SoundExchange’s business. In 2014, it was more than half of its collections. Most recently, SoundExchange posted Q3 2016 payments up nearly 30% on-year to $263.5 million.