The Council of Music Makers (CMM) has outlined the five foundational changes it wants to see for music streaming.
The changes include a minimum digital royalty rate for all featured artists, more money from streaming for session musicians and improvements in data. The five point plan is below in full.
Ahead of a meeting with government ministers this week, the organisation is calling on record labels, music publishers and digital platforms to work with the CMM and the Intellectual Property Office (IPO) to deliver these changes.
The CMM brings together the organisations that represent those who compose, record, perform and produce music - the Ivors Academy, FAC, MMF, MPG and the MU.
Following the DCMS Select Committee report from July 2021 that called for a “complete reset” of streaming, the organisations are directly involved in long-running working groups at the Intellectual Property Office (IPO) that seek to deliver pan-industry solutions.
In January, Universal Music Group chairman & CEO Sir Lucian Grainge, outlined his belief in an internal memo that the “economic model for streaming needs to evolve” and “under the current model, the critical contributions of too many artists, as well as the engagement of too many fans, are undervalued… We need a model that supports all artists - DIY, indie and major. An innovative, ‘artist-centric’ model that values all subscribers and rewards the music they love.”
UMG has since announced separate partnerships with Tidal and Deezer to test new “artist-friendly” streaming models, effectively ending those platforms’ work in developing “user-centric” royalty distribution systems.
In February, Spotify founder Daniel Ek outlined his vision of a “truly global creative economy” at the market leader’s annual Stream On event.
The CMM said it hopes that its work with the IPO will soon result in new industry codes.
In a collective statement, the CMM said: “As the Council of Music Makers we stand united in our desire to build a system where streaming offers more equitable rewards to all those who compose, perform and produce music. While it is heartening to see major music companies share our conclusion that change is necessary, it is disappointing that we have seen few meaningful commitments on the five fundamental areas already put on the table at the Intellectual Property Office.
“Ahead of our meeting with ministers, we urge our label and publishing partners to join us in taking the necessary actions so we can all unite and create the impetus for future growth.”
Council Of Music Makers' Five Point Plan
1. All featured artists should receive a modern, minimum digital royalty rate, with unrecouped balances written off after a term, on a rolling basis, without any additional conditions.
2. All session musicians should see the benefit of the streaming boom, on both new recordings and catalogue.
3. All music-makers should have an opportunity to revise outdated old contract terms, making old deals fit for purpose in the modern music business. Remuneration should always be fair and appropriate.
4. All songwriters and artists must be given transparency on how their music is monetised by each digital platform. That includes proactively communicating how monies are allocated to each music-maker's songs and recordings, and then shared with and paid through to them.
5. The whole industry should ensure that all required music rights data is in the system before release. Every music-maker should always be credited for their contribution and digital royalties must reach songwriters as quickly and accurately as they do for artists.
PHOTO: (L-R) David Martin, CEO, Featured Artists Coalition, Annabella Coldrick, Chief Executive, Music Managers Forum, Graham Davies, CEO, The Ivors Academy,
Cameron Craig, Executive Director, Music Producers Guild, Naomi Pohl, General Secretary, Musicians' Union