Can anyone please explain Soundexchange?

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  • #30692 Reply
    mingin1
    Participant

    Hi all,
    I have a stupid question: Can you register tracks at soundexchange for collecting digital royalties, even when those tracks are only on royalty free Libraries ( royalty free music) ?
    Thank you !

    #30695 Reply
    Art Munson
    Keymaster

    Can you register tracks at soundexchange for collecting digital royalties, even when those tracks are only on royalty free Libraries ( royalty free music)

    I only do for the tracks I have released for digital distribution (Spotify, iTunes, etc.). I am not sure there is an advantage for tracks only in RF libraries.

    #30703 Reply
    mingin1
    Participant

    Thank you Art,
    I wondering if this is possible, because a lot of Librarys provide / deliver music for streaming online radio stuff. But I think its not legit when your music is royalty free on the market.

    Greetings
    Andi

    #30704 Reply
    Art Munson
    Keymaster

    But I think its not legit when your music is royalty free on the market.

    Don’t understand that sentence. What’s not legit?

    #30705 Reply
    LAwriter
    Participant

    Essentially SE pays only for “digital radio station” type plays. Not youtube, other video based web performances, or netflix, amazon vod, etc..

    #30706 Reply
    MichaelL
    Participant

    Essentially SE pays only for “digital radio station” type plays. Not youtube, other video based web performances, or netflix, amazon vod, etc..

    To be specific, SoundExchange collects/pays for non-interactive digital sources.

    #30707 Reply
    LAwriter
    Participant

    Michael – what constitutes “interactive” in this context? Thx.

    #30708 Reply
    MichaelL
    Participant

    Michael – what constitutes “interactive” in this context? Thx.

    As you might guess, it involves the amount of control the listener has over what they are listening to. The interesting thing about this section of the statute is that it appears that even the music a service selects for you, based on what you have requested, is considered interactive.

    As is often the case with the law, we infer what something is by the definition of what it is not. 17 U.S. Code § 114(j)(7) defines “interactive” as follows:

    7) An “interactive service” is one that enables a member of the public to receive a transmission of a program specially created for the recipient, or on request, a transmission of a particular sound recording, whether or not as part of a program, which is selected by or on behalf of the recipient. The ability of individuals to request that particular sound recordings be performed for reception by the public at large, or in the case of a subscription service, by all subscribers of the service, does not make a service interactive, if the programming on each channel of the service does not substantially consist of sound recordings that are performed within 1 hour of the request or at a time designated by either the transmitting entity or the individual making such request. If an entity offers both interactive and noninteractive services (either concurrently or at different times), the noninteractive component shall not be treated as part of an interactive service.

    Keep in mind that SoundExchange collects/pays royalties for performers and master rights owners, not composers. What SoundExchange collects is similar to neighboring rights royalties paid in Rome Treaty countries.

    If you want to read unit you pass out, here’s a link to an annotated copy of the full statute from Harvard Law:

    This raises the question as to whether creating playlists on subscription services really has an impact? My personal experience is that my SoundExchange royalties have come from services in which the listener has no control in music selection, like cable music channels.

    #30709 Reply
    LAwriter
    Participant

    Wouldn’t Netflix, etc. be considered interactive then?

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