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NEWS

Spotify & Other Streaming Services Are Fighting Songwriter Royalty Increases

5/26/2020

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As everyone in the music industry is aware of, making a living as a songwriter is not easy at all. While the industry's transition toward streaming has opened a lot of doors for music makers, it's also very difficult to earn enough income to sustain a career. Thinking of that, the Copyright Royalty Board has done something to give songwriters a solid win with their recent royalty rate increases. It seems like good news, however not all is great!
The same streaming giants who have built the new music model – Spotify, Google and Amazon – are still fighting the CRB's royalty rate increases, attempting to force their massive corporate power in order to avoid paying songwriters what the CRB has determined is fair.
On March 10, Spotify, Pandora, Google and Amazon’s appeal of the CRB’s 2018 decision (to increase songwriter royalty rates by 44%) was heard before the DC Circuit Court. This appeal has reignited the fight over royalty rates with songwriters seeking only to uphold the CRB's decision and these streaming services hoping to avoid the pay increase.
Many songwriters are watching this story closely, as four of the main digital platforms are essentially suing to not have to pay songwriters the rates determined. Despite all the pressure, the platforms have not backed down from their appeal so from here it will be up to the DC Circuit Court to determine an outcome.
Since the appeal was filed in 2019, songwriters have united and raised their voices in other impactful ways. Some examples was, in last April, a group that included GRAMMY winners Nile Rodgers, Kenneth “Babyface” Edmonds and Greg Kurstin wrote an open letter about the issue directed specifically at Spotify. They call out the top streaming platform for its dishonest relations with songwriters and asking for them to "do the right thing and drop your appeal of the Copyright Royalty Board rate determination."
Everyone can get involved to send this same message to Spotify and the other platforms, just by contacting the companies’ Board of Directors to let them know you stand with the songwriters who write the music they sell.
Professionals should be paid the fair rate determined by the CRB, not continue to line streaming platforms pockets with more cash.
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