Top iPad Music Apps (a/o May 23rd):
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So says David Renzer, chairman & CEO of Universal Music Group Publishing, who shared the stat at a recent publishing forum (we just got our hands on the recording). "For every 250,000 streams on YouTube, that is the equivalent of one credit of ASCAP performing rights value," Renzer relayed. "One credit is less than $8, it's about $7.60." The forum was held by the Association of Independent Music Publishers (AIMP) in Los Angeles earlier this year.
Renzer aptly described the ratio as "depressing," though he also
noted that YouTube has secured proper licenses with performance rights organizations. "You do that math and it's pretty depressing, but that's the world we live in today, and it's causing a lot of consternation and a lot of discussion amongst the industry," Renzer relayed.
Part of the problem, according to Rezner, is that the PROs are required to license services under various consent decrees - not from scratch like the recording side. There are negotiations, interim rates and court proceedings, but ultimately "it's not a lot of money" according to Renzer.
Simply stated, publishers are just making a lot less from streaming formats. Beyond YouTube, streaming payouts are paltry for publishers, and recent filings from Pandora prove the point. But the irony of the discussion is that master recording owners get nothing from traditional radio - at least in the US - all part of a very imbalanced and byzantine royalty world.
Comments Closed
@kliscoverdale Friday, April 22, 2011
Kara-Lis Coverdale
bling bling, money ain't a thing
@SH_Tucker Friday, April 22, 2011
Sean Harley [Tucker]
Don't depend in YouTube as a revenue stream
Maxwellian Friday, April 22, 2011
But that's part of a $2 CPM - so overall 250,000 youtube streams is about $500. there needs to be better distro between various rights holders period
wallow-T Friday, April 22, 2011
Serious question, not snark: Is there a statistical average given or guessed for the number of listeners to the "average" radio spin?
Because the average number of listeners to a YouTube spin is 1.
In a big city, I could envision that one radio spin might have as many listeners as 250,000 YouTube plays.
CraigDiPaolo Friday, April 22, 2011
wallow-T
Good point/question. Really my takeaway here is that youtube is worthless, not that it's such and such percentage of radio. But Radio is 1-to-many, yt is 1-to-1 - apples and oranges and radio is much, much bigger and powerful
bjza Saturday, April 23, 2011
A friend of mine owns a video on YouTube that's not quite gone viral but is certainly racking up consistent hits. He's making considerably more than $8 per 250,000 views. So if this a lesson in anything, it's that PROs are doing a poor job of negotiating with online services and that artists should control the distribution of their own videos. It's the same old business lesson about cutting out the middle men. Of course, that's difficult to do if your career is weighed down by licensing red tape from your label.
James Monday, April 25, 2011
Good advice for the DIY artist, but the main issue here, if I'm not mistaken, is for the professional songwriter whose songs are being performed by someone else, and is thus getting a disproportionately small slice of an already tiny cake.
anti-est.blogspot.com Saturday, April 23, 2011
Very interesting information.
And a big shout-out to the Association of Independent Music Publishers - I had no idea such a thing existed, but I definitely support that type of initiative.
ANTI-EST.
@Ronald_Mooij Sunday, April 24, 2011
Ronald MOOIJ
No comment...
billeeto Monday, April 25, 2011
So 1 million YouTube views equals about $30 to pubber/writers and 1 million YouTube views equals about $1000 to label/artists.
Pubbers and labels are locking horns, even under the same corporate umbrella.
The Pandora IPO disclosure showed that of about $40 million in royalties (not sure what period that covers), about $38 million went to label/artists and about $2 million went to pubber/writers. In both scenarios, the pubbers are getting about 5% or less of the total pie, while the labels take about 95%.
On the other hand, the labels want MORE from the terrestrial radio stations, which is the bread and butter of publishers income... The Performance Rights Act may give more to the labels from the terrestrial radio broadcasters, but my question is whether the broadcasters will pony up more money or just pay less to the publishers to give more to the labels. So far NAB has outmaneuvered RIAA pretty good... but we'll see.
Complicated Monday, April 25, 2011
This is disingenuous. The PRO payout is not the only money that the publisher should receive from an on demand stream on YT - there is also the mechanical royalty as well. If the PRO payout is c. 3%, the all-in publishing rate for audio streams, set by the CRB settlement a few years ago is 10.5%. Which makes the total publisher payout more like $25.
That settlement doesn't cover video, so publishers have more freedom to negotiate a better price with YT. It could be that the publisher payout is more like $30. Not saying that it is a huge amount of money, but publishing in the US has always been a pennies business. And its complexity means that interested parties can spin the story without being challenged.
billeeto Tuesday, April 26, 2011
Complicated, you're adrift ... interactive streaming services generally pay a mechanical royalty of 10.5 percent of a (very) adjusted revenue amount, less amounts owed for performance royalties. For all intents and purposes its a performance royalty, call it what you will. It's a miniscule royalty in most case, often not worth the ink and paper on which calculations are inscribed, at least not at this point. Maybe in the future it will add up... As for your remark about sync fees for YouTube videos, what kind of "better price" are you talking about? Have you tried negotiating a YouTube sync fee lately?
@TREALCITY Monday, April 25, 2011
TREAL CITY
that's it??
@cabal Tuesday, April 26, 2011
luca castelli
Prevedibilmente basse
@KarlNova Tuesday, April 26, 2011
Karl Nova
wow lol that's like £5! Hahaha!!!
@1_Shot Wednesday, April 27, 2011
1_Shot (IV)
whoa.
Econ Saturday, April 30, 2011
250K plays on YouTube is 250K impressions. ONE play on a New York City radio station is about 250K impressions. And there is no way in hell any NYC radio station is paying $8 per spin.
So these people are actually bitching about making MORE money than ever before!
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