PRO's
This is the first PRO created. It had a government mandated monopoly of licensing performance rights (to simplify the process for broadcasters).
American Society of Composers, Authors, and Publishers (ASCAP)?
True of False: PRO's license performance rights for songs and recordings
False: It only licenses the rights for songs, recordings don't require licensing for non digital performances
What do mechanical license cover?
License that gives distribution and reproduction rights
Is streaming considered interactive or non-interactive?
Interactive
If you are your own publisher, how many checks do you get from ASCAP as royalties?
2: one for the publisher's share, one for the writer's share
True or False: By law, PRO's have to be non-profit
False: The law only applies to PRO's with a monopoly in performance rights licenses. This only applies to 2 major PRO's
This type of license accounts for 70% of the licenses distributed by PRO's, covering multiple types of broadcasters, live performance venues, and those who constantly use a large catalog of music for a year.
Blanket License
What are mechanical rights referred to as in the music industry?
"Mechanicals"
What is considered the cut-off between streaming and broadcasting?
Pandora
What is the other type of license offered by PRO's for those who do not want a blanket license?
Per-Program License
The National Association of Broadcasters created this PRO as a means of competition with ASCAP to lower performance rights costs for broadcasters.
Broadcast Music Inc. (BMI)
How is money distributed by PRO's from licensing performance rights?
Evenly (50-50) between the writer and publisher (unless there is a co-publishing deal)
As part of the music modernization act this administration was created to simplify mechanical licenses
Mechanical Licensing Collective
What is the current statutory rate for mechanical licenses on streaming?
15%
Whats percentage of Pandoras gross revenue goes to ASCAP?
2.5%
This new PRO was created by mogul Irving Azoff and despite only representing 1% of available performance licenses and being for-profit, the artists he represents are some of the most well-known in the industry and public.
Global Music Rights (GMR)
Fill in the Blanks: The [ ] Copyright Act gave 4/5 the basic rights to sound recordings, excluding performance rights, and was not challenged until 1998, where an exception was made for [ ].
1972 , Digital Sound Recordings
True or False: Mechanical licenses also have a blanket license like performance rights do?
False
Which 3 of the 5 basic rights do streaming services use?
Distributing, reproducing, some performance
If Sony was making a movie, who would they approach about using a copyrighted song?
They would approach the publisher for a sync license. The company that then chose to broadcast the movie with that song would go to the PRO for a performance license.
Which of the following does NOT require a performance license?
A) Radio Station playing a copyrighted song
B) A movie theater playing a movie with a copyrighted song
C) A Television show where one character sings a song in the shower.
The movie theater does not pay for performance licenses, and therefore do not interact with PRO's (does not apply to movies that are streamed).
This new PRO exclusively exists for licensing performance rights for sound recordings in the digital domain.
Sound Exchange
If your songs accounts for 2% on Spotify streams, and you own 20% of that song, what percentage of Spotify's gross income are you getting? (Hint: Keep in mind only 15% of spotify's gross income goes to paying those royalties)
.15 x 2/100 = the decimal for that song x .20
Answer: .0006
Who gives the mechanical license to streaming services?
The owner of the sound recordings
What is the term for passive income (continual pay) received well after writing a song and getting money from a sync license (this is the money earned for each broadcast of your song)
"Mailbox Money"