We crossed a significant milestone in December 2017 – our cumulative sound recording performance royalty distributions surpassed $5 billion. We have always kept our focus on music creators since beginning this journey in 2003 and look forward to continuing to serve as stewards of the creative community.
In Q4 2017, we also continued to participate in rate-setting proceedings before the Copyright Royalty Board (CRB). We achieved a rate increase for SiriusXM’s satellite radio service of more than 40 percent, from 11 percent of revenue to 15.5 percent of revenue from 2018 through 2022. We accomplished many great things in 2017 and expect more success in 2018.
Paid to recording artists and rights owners
Paid to recording artists and rights owners
The Copyright Royalty Board (CRB) on December 14 issued its decision on the determination of rates for SiriusXM’s satellite radio service, as well as for the cable television music services provided by Music Choice and Muzak, from 2018 through 2022.
The CRB increased the rates for SiriusXM by more than 40 percent, from 11 percent of revenue to 15.5 percent of revenue, effective January 1, 2018. SiriusXM is the only satellite radio service in the United States and reported revenues of $5 billion in 2016. By contrast, the CRB reduced the rates for Music Choice’s and Muzak’s services from 8.5 percent to 7.5 percent of revenue.
“We thank the CRB for its work and appreciate their consideration of the case we laid out,” SoundExchange President and CEO Michael Huppe said. “SoundExchange is dedicated to our mission of ensuring that creators are properly recognized and compensated for the use of their work. And while the Copyright Royalty Board did not adopt the rates we proposed for SiriusXM, its ruling demonstrates an important step in the right direction toward valuing the contributions of the music creators represented by SoundExchange.”
2017 was a great year for music. The number one track of 2017 belonged to The Chainsmokers for “Closer,” featuring Halsey. Former One Direction member Niall Horan was the most streamed Breakout Artist of 2017. A quick look at our year-end charts reminds us just how many great tracks and powerful artists we heard.
Did you forget? Then let our charts showing digital radio’s Top 20 Tracks and Breakout Artists of the year remind you.
Legendary recording artist Pat Boone received the SoundExchange Fair Play Award on October 17 during the 48th Annual Gospel Music Association (GMA) Dove Awards in recognition of his decades of support for music creators.
We created the SoundExchange Fair Play Award to recognize the contributions of members of the entertainment community who fight in the public policy arena on behalf of music creators and the entire creative community.
It’s official–the Board of Directors of SXWorks has been named. SoundExchange formed SXWorks when it acquired the Canadian Musical Reproduction Rights Agency Ltd. (CMRRA) in May 2017. SXWorks is focused on providing administrative services to music publishers. CMRRA, a music licensing collective, manages reproduction rights to the vast majority of songs recorded, sold and broadcast in Canada, across all areas of exploitation for music publishers.
SoundExchange President and CEO Michael Huppe will serve as Chairman of the Board of SXWorks. The newly appointed SXWorks Board of Directors is comprised of eleven individuals, including five music publishers and six SoundExchange executives. In addition to Huppe, other SXWorks board members include:
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Visit our Digital Radio Report archive to review SoundExchange's performance in past quarters.
SoundExchange develops business solutions to benefit the entire music industry. The organization collects and distributes digital performance royalties on behalf of more than 155,000 recording artists and master rights owners accounts and administers direct agreements on behalf of rights owners and licensees. To date, SoundExchange has paid out more than $5 billion in royalties. SXWorks, a SoundExchange subsidiary created with the acquisition of the Canadian Musical Reproduction Rights Agency Ltd. (CMRRA), provides global administration and support services to music publishers for multiple licensing activities.