“PRS for music processed 18.8 trillion “performances” of music last year, including streams, downloads, radio and TV broadcasts, and music played in pubs, clubs, hairdressers and concert venues”.It unprecedented, overwhelming and creating a lag…
Live music is “dead” – can streaming save the artists?
Live music generated £54m in royalties, up £15m since 2018. Revenues were boosted by major tours from the Spice Girls, Sir Elton John, Ed Sheeran and the return of Glastonbury after a fallow year in 2018.
But with an entire summer of festivals cancelled and dozens of major tours postponed until 2021, that figure will be impossible to recreate in next year’s results.
Last week, UK Music revealed the contribution of live music to the UK economy is set to drop in 2020 from an estimated £1.1bn to £200m, describing it as a “catastrophic” blow to the industry.
The lockdown also means songwriters will lose out on royalties gathered when their music is played in shops, cinemas, pubs, clubs and restaurants. In 2019, that figure was £168.2m.
Streaming music news.
Royalties from music streaming rose 22.1% to £155m, while the money generated from music on video-on-demand services like Amazon and Netflix increased by 47.5% to £17.7m (Ref: PRS for music)
More money, faster – to copyright owners…
Copyright ownership is a very lucrative business, also in times when other areas are facing a recession, and there is a market for trading in copyright ownership and shares representing parts of this ownership.
To change a very conservative business like the music industry, it’s important to leave as much as the existing business model as intact as possible.
Consequently, we regard our services NOT as disruptive but as providing disintermediation.
We have set up a simple visualisation of the money flow and the two primary licensing forms available for DSPs today (there are hybrids, but the principle is same)
Advances and exclusive administration of Copyrights.
To kick-start the music economy after the pandemic – advances are back in the music industry.
To secure exclusive administration right of musical works, NIM is offering to pay advances to the copyright owners and have allocated 700 million CCIM to that effect. In addition to a maximum of 150 million Euro SCO investment, all secured in proven royalties’ income. These 150 million will NEVER leave the ecosystem, and as soon as recouped, will be available for additional advances.