These services ensure that creators are compensated fairly for their music whenever it is broadcast or used in commercial projects. In the complex world of music rights, these services play a critical role in tracking usage and distributing royalties.
Music royalty services cover various types of royalties, including mechanical, performance, and sync royalties. Performance royalties apply when a song is broadcast on radio or performed live or streamed online. Mechanical royalties are collected when music is sold or reproduced Songs in the store a format like CDs or digital downloads. come from using music in movies, advertisements, or video games.
In the U.S., major music royalty services include ASCAP, BMI, SESAC, and SoundExchange. ASCAP and BMI focus on performance royalties and represent a wide range of artists, while SESAC works exclusively with invited artists. SoundExchange, meanwhile, handles royalties for digital streaming services, which is especially valuable for todays streaming landscape.
These royalty services collect licensing fees from venues, broadcasters, and streaming services that use music commercially.
These services play a vital role in making the music industry more financially fair for musicians.
