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25:
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The CRB judges established webcasting rates (per song, per listener) on
December 16, 2015, for the 2016–2020 term – $ 0.0017 for non-subscription performances and $ 0.0020 for subscription performances for commercial webcasters in 2017, with rates for each subsequent year adjusted upward or downward,
356:
SoundExchange collects and distributes royalties for all artists and copyright owners covered under the statutory licenses. It has collection agreements with more than 40 international performance rights organizations around the world, allowing it to collect and pay royalties to recording artists and
410:
A 2007 royalty rate increase was reported as establishing a rate that would "render
Internet radio unsustainable, or at the very least, more ad-laden than terrestrial radio." Critics charged that in negotiating the royalty, SoundExchange was concerned primarily with major labels and their artists.
471:
In
January 2018 the SoundExchange subsidiary SXWorks launched NOI (Notice of Intention) Lookup. It allows songwriters and publishers to search a U.S. copyright database which indexes "Address Unknown" notices, the term used when a music service files an intention to use a musical work, but claims
403:, SoundExchange, along with other interested parties, participates in each periodic rate-making proceedings to establish rates that compensate copyright owners and performers for the use of copyrighted sound recordings. Such rate setting proceedings may be resolved through proceedings through the
390:
to also distribute the collected royalties to copyright owners and performers entitled under and pursuant to 17 U.S.C. § 114(g)(2). Incorporated in the State of
Delaware, SoundExchange is exempt from taxation under Section 501(c)(6) of the Internal Revenue Code. It operates, in part, pursuant to
298:
SoundExchange's first executive director was John Simson, a musician, attorney, and artist manager. Simson left the organization in 2011 and was replaced by
Michael Huppe. In 2018 it was announced that the organization had extended his contract through 2021. He also serves as the chairman of the
318:
SoundExchange exists to administer statutory licenses for sound recording copyrights, primarily through the collection and distribution of royalties for sound recording performances occurring under the jurisdiction of federal law. An administrative fee is deducted from royalties before they are
480:
In 2019, SoundExchange introduced the "Overlaps & Disputes" feature for rights holders utilizing their software. However, this feature triggered concerns among independent rights holders. Some artists, particularly those distributing their music through independent platforms, expressed
289:
in 2000. In 2001, major record labels and artists agreed on a standard for paying royalties earned from cable and satellite music services, and SoundExchange made its first payment, distributing $ 5.2 million in royalties to recording artists and labels. In 2002, four years after the
294:
granted webcasters an automatic license to play copyrighted music provided that a royalty was paid, a lengthy arbitration process was concluded, and a royalty rate was set. SoundExchange was spun off from the RIAA and became an independent non-profit corporation in 2003.
299:
board of SXWorks, a subsidiary created by SoundExchange following its acquisition of the
Canadian Musical Reproduction Rights Association (CMRRA). SXWorks provides administration and back office services to publishers to support multiple licensing configurations.
446:
subscribers was allowed a grandfathered rate standard that resulted in lower royalty rates. The SoundExchange lawsuit sought to implement the standard royalty rate for new subscriptions on Muzak's streaming services to other cable/satellite TV providers.
492:
A dispute arises when a right holder submits a form to SoundExchange asserting that an existing claim on a composition's performance rights is invalid, and they are the legal right holder. The prevalence of such complaints has led to speculations of
472:
that they cannot locate the copyright owner. A free tool, it allows copyright owners to identify their work. In 2017, an average of 2.5 million monthly address unknown NOI filings were submitted to the US Copyright Office by music services.
319:
distributed, with the remainder divided between the performing artists on a given recording, and the copyright owner of that recording. As of 2023, the organization collects more than $ 1 billion annually for distribution.
438:
in
December 2017, reducing the royalty rates paid by those services from 8.5% of revenue to 7.5% of revenue. The Music Modernization Act of 2018 subsequently extended the rates for an additional five years, through 2027.
501:. Opinions on responsibility vary, with some attributing predatory behavior to major labels, while others argue that artists should exercise due diligence in managing their rights and finances within the music industry.
1151:
302:
In 2012, the company announced that it had paid over $ 1 billion in royalties since 2003. As of 2018, it had paid more than $ 5 billion, with recording artists and rights holders paid $ 884 million in 2016 alone.
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as the sole organization authorized to collect royalties paid by services making ephemeral phonorecords or digital audio transmissions of sound recordings, or both, under the statutory licenses set forth in
1110:
442:
In 2015 SoundExchange sued Muzak for underpayments of royalties to artists and rights holders. Because its royalty rate was established before the DMCA was enacted, Muzak's streaming services to
468:
for 20 million sound recordings in its database. The service allows users to search SoundExchange's database of international standard recording rates, unique identifiers for sound recordings.
924:
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according to the
Consumer Price Index for the year. As of 2018, webcasting rates were $ 0.0018 for non-subscription services and $ 0.0023 for subscription services.
357:
rights owners when their music is played in those countries. In 2017, SoundExchange expanded into music publisher administration with its acquisition of
Canadian
35:
1397:
813:
1152:"CRB Announces Webcasting Royalty Rates for 2016-2020 – Lower Rates for Broadcasters Who Stream, Minimal Change for Pureplay Webcasters | Broadcast Law Blog"
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royalties, which was previously collected by the
Alliance of Artists and Recording Companies (AARC) since 1993. AARC ceased operations at the end of 2021.
843:
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Determination of Royalty Rates and Terms for Transmission of Sound Recordings by Satellite Radio and “Preexisting” Subscription Services (SDARS III).
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Provides reports summarizing the titles, featured artists, and royalty amounts for each of the sound recordings performed by the statutory licensees.
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Thousands of internet broadcasters participated in a "day of silence" protest by cancelling their programming on June 26, 2007.
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royalty rate from 11.5% of revenue to 15.5% of revenue through 2022. The CRB also rendered a decision on royalty rates paid by
1367:
1033:
1226:"SoundExchange's SXWorks launches free tool to fix widespread NOI copyright problem in the US - Music Business Worldwide"
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648:
893:"Notice of Designation As Collective Under Statutory License filed with the Licensing Division of the Copyright Office"
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Allocates royalties for the performance of the sound recording based on all of the data collected and processed;
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868:"Michael Huppe signs 4-year extension to continue as SoundExchange CEO - Music Business Worldwide"
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In March 2016 SoundExchange introduced an online service to allow music services to locate
307:
1127:"BRIEF-Mood media announces update to court proceedings involving its subsidiary MuzakLLC"
8:
1252:"My Catalog Update: Overlaps & Disputes - "Bulk Resolution" & Other Enhancements"
1003:
814:"SoundExchange Announces Expansion into Private Copy Royalty Collection and Distribution"
653:
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Collects and processes all data associated with the performance of the sound recordings;
498:
486:
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739:"SoundExchange Is Officially Buying CMRRA, A Move Reflecting Evolving Digital Markets"
391:
Copyright Office regulations set forth in 37 C.F.R. Parts 370, 380, 382, 383 and 384.
1008:
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591:
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1060:"SoundExchange CEO Points to SiriusXM's Growth for Royalty Rate Increase Optimism"
1034:"SiriusXM May See Its Digital Royalties Nearly Double If New Proposal Is Greenlit"
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106:
It may require cleanup to comply with Knowledge's content policies, particularly
687:
MusicRow - Nashville's Music Industry Publication - News, Songs From Music City
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SoundExchange handles the following duties with respect to statutory licenses:
46:
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frustration through blog posts and video-sharing platforms. Allegations of "
494:
443:
435:
790:"SoundExchange Passes $ 5 Billion Mark in Streaming Royalty Distributions"
950:"U.S. Copyright Royalty Board Rejects Webcasters, Embraces SoundExchange"
649:"Jeffrey H. Birnbaum - Radio Royalties: Reprising Ol' Blue Eyes' Battle"
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Distributes the copyright owner's share directly to the copyright owner;
925:"Sirius XM Satellite Radio to Pay Higher Royalty Rate Starting in 2018"
259:
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342:
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683:"SoundExchange Board Extends President/CEO Michael Huppe's Contract"
465:
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In December 2017, the Copyright Royalty Board (CRB) increased the
386:§ 114. As of January 1, 2003, SoundExchange is designated by the
1350:
1323:"Understanding My Catalog: A Guide To "Overlaps & Disputes""
1086:"SoundExchange Files Its Second Lawsuit Over Improper Royalties"
999:"Web Radio Stations Hope Silence Speaks Volumes About Fee Hike"
765:"SoundExchange Passes $ 1 Billion Mark In Music Royalties Paid"
489:, were disputing performance royalties of independent artists.
335:
Distributes the featured artist's share directly to the artist;
242:
1201:"SoundExchange Launches Free 20 Million Song Search Database"
431:
306:
In 2021, the company expanded royalty collections to include
326:
Collects performance royalties from the statutory licensees;
828:
The $ 1 Billion Waiting For Artists Who Know Where To Look.
1051:
584:"TECHNOLOGY; Internet Radio Criticizes Rate On Royalties"
143:
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in 2003. It is the sole organization designated by the
916:
711:"SoundExchange Extends CEO Michael Huppe Through 2021"
349:'s Intellectual Property Rights Distribution Fund; and
99:
A major contributor to this article appears to have a
885:
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would more than double Sirius XM's royalty payments.
53:, and by adding encyclopedic content written from a
142:For the audio editing software Sound eXchange, see
1378:Non-profit organizations based in Washington, D.C.
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485:" emerged, with claims that major labels, notably
1177:"SoundExchange Debuts Search Tool for Song Codes"
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341:Distributes the non-featured artist's share to
285:SoundExchange was created as a division of the
1398:Music organizations based in the United States
974:"New Royalty Rules May Reshape Internet Radio"
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562:"Record Labels, Artists Reach Services Accord"
414:In 2016, SoundExchange's rate proposal to the
273:to collect and distribute digital performance
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363:Canadian Musical Reproduction Rights Agency
844:"International Collection - SoundExchange"
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130:Learn how and when to remove this message
73:Learn how and when to remove this message
16:Collective rights management organization
1388:2003 establishments in the United States
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1301:What to do about Soundexchange disputes
1276:"SoundExchange Overlaps & Disputes"
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34:contains content that is written like
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647:Birnbaum, Jeffrey H. (2007-07-03).
373:SoundExchange is designated by the
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1084:Flanagan, Andrew (April 3, 2015).
923:Steele, Anne (December 15, 2017).
421:
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1393:501(c)(6) nonprofit organizations
1383:Organizations established in 2003
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1116:2018-12-19. Retrieved 2024-03-13.
1032:Christman, Ed (25 October 2016).
833:2019-03-27. Retrieved 2024-02-26.
560:Leeds, Jeff (November 8, 2001).
292:Digital Millennium Copyright Act
110:. Please discuss further on the
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511:Performance rights organization
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1368:United States copyright law
929:Dow Jones (via Morningstar)
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763:Greenburg, Zack O'Malley.
582:Harmon, Amy (2002-06-21).
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369:Authority and structure
277:for sound recordings.
375:Librarian of Congress
108:neutral point of view
55:neutral point of view
395:Royalty rate setting
308:Private copying levy
1304:, 14 September 2022
1004:The Washington Post
654:The Washington Post
399:As required by the
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47:promotional content
1280:MusicLibraryReport
1156:Broadcast Law Blog
588:The New York Times
487:Warner Music Group
401:United States Code
158:September 22, 2003
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620:Los Angeles Times
539:soundexchange.com
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