‘US streaming rates are unjustifiably below-market’
As we approach 2015, many people are talking about what next year may bring for the music industry. Its fair to say that we already know streaming shall take over the physical market as people grip to the ideas of it.
But the question that has also been asked, is how much do the artists receive from streaming? Martin Bandier has spoke to Music Week on this topic and it seems like the artists are not benefiting. He has been fighting against this topic for quite a while and explained that ‘songwriters are currently not being paid fairly by digital services such as Pandora for their performance rights’.
To back this up he has revealed a figure of his own artists:
John Legend’s All Of Me, streamed 55 million times on Pandora, generated $3,400 in publisher and songwriter royalties.
Figures like this are shocking considering how much money companies like Pandora can generate, and Bandier’s frustration is understandable. Early last year Pandora won a decision in ASCAP’s own rate court to pay songwriters just 1.85% of its total income. Should this be Changed?
Discuss all ideas below