Music Licensing Charts

Copyright and the Music Marketplace:

Existing Licensing Framework

Musical works

publishers/songwriters

Sound recordings

record labels/artists

Synch rights,

etc.

Reproduction and distribution (mechanical) rights

Public performance rights

Publishers directly

Publishers directly or through

labels

Statutory notice

Synch rights,

etc.

Reproduction and distribution rights,

and public performance rights for digital

interactive

Public performance

rights for digital

noninteractive

Public performance

rights for terrestrial (AM/FM)

radio

Labels directly

Labels directly

No federal performance

right

Traditional media (TV, film, etc.) and new media (internet, etc.)

Downloads, interactive streaming,

CDs, etc.

Traditional media

(radio, TV, etc.) and new media

Live

(internet, etc.)

Traditional media

(TV, film, etc.) and new media (internet, etc.)

Downloads, interactive streaming, CDs, etc.

Internet and satellite radio, etc.

Copyright and the Music Marketplace:

Proposed Licensing Framework

Musical works

publishers/songwriters

Sound recordings

record labels/artists

Synch rights,

etc.

Mechanical and public performance

rights subject to withdrawal

Reproduction and distribution (mechanical) and

public performance rights

Synch rights,

etc.

Reproduction and distribution rights, and

public performance rights for

digital interactive

Public performance rights for digital noninteractive and terrestrial

Publishers directly

Publishers directly

MROs and GMRO

Labels directly

Labels directly

Traditional media (TV, film, etc.) and new media (internet, etc.)

Downloads and interactive

streaming

Physical products (CDs, etc.)

Traditional media (radio, TV, etc.) and new media (internet, etc.)

Live

Traditional media (TV, film, etc.) and new media (internet, etc.)

Downloads, interactive streaming,

CDs, etc.

Internet, satellite and terrestrial (AM/FM) radio, etc.

Copyright and the Music Marketplace:

Existing Ratesetting Framework

Musical works

publishers/songwriters

Sound recordings

record labels/artists

Public performance

rights

Reproduction and distribution

(mechanical) rights

Synch rights, etc.

Reproduction and distribution rights, public performance rights for digital interactive, synch rights, etc.

Public performance rights for digital noninteractive

Works subject to ASCAP/BMI

consent decrees

Works not subject to ASCAP/BMI consent decrees

Satellite radio and preexisting

subscription services

Internet radio and new

subscription services

"Reasonable" rate

Federal district court (rate courts)

Rates negotiated in the free market

801(b)(1) factors

Willing buyer/ willing seller

Copyright Royalty Board

Copyright and the Music Marketplace:

Proposed Ratesetting Framework

Musical works

publishers/songwriters

Sound recordings

record labels/artists

Reproduction and distribution (mechanical) and public performance rights (MRO- and GMRO-

administered)

Mechanical and public performance rights

subject to withdrawal, synch rights, etc.

Reproduction and distribution rights, public performance rights for digital interactive, synch rights, etc.

Public performance rights for noninteractive (internet, satellite, and terrestrial (AM/FM) radio, etc.)

Rates negotiated in the free market

Market?oriented standard (e.g., willing buyer/willing seller)

Copyright Royalty Board (as needed)

Regulatory Overview

Reproduction/ distribution

Digital interactive performance

Digital noninteractive performance

Terrestrial performance (e.g., AM/FM radio)

Synch

Sound recording Freely negotiated Freely negotiated

Regulated ? CRB

No right Freely negotiated

Musical work

Regulated ? CRB

Regulated ? rate courts (ASCAP & BMI)

Freely negotiated (other PROs)

Regulated ? rate courts (ASCAP & BMI)

Freely negotiated (other PROs)

Regulated ? rate courts (ASCAP & BMI)

Freely negotiated (other PROs)

Freely negotiated

Ratesetting Standards

Use

Ratesetting body Authority

Standard

?115 mechanical (musical works)

Copyright Royalty Board

?801(b)(1)

Multifactor policyoriented approach

?114 satellite radio Copyright (sound recordings) Royalty Board

?801(b)(1)

Multifactor policyoriented approach

?114 internet radio Copyright (sound recordings) Royalty Board

?114(f)

"Willing buyer/ willing seller"

ASCAP/BMI public performance

(musical works)

Federal "rate courts" in New York

Consent decrees

"Reasonable fee" (or "fair market

value" considering antitrust concerns)

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