UMPG, Pacts With Pandora For BMI Repertoire
January 22, 2014 at 10:29 AM (PT)
UNIVERSAL MUSIC PUBLISHING GROUP has signed a license agreement with PANDORA that allows the digital service to play its songs in the BMI repertoire. When a BMI rate court judge determined that BMI could lose rights to UMPG's repertoire after DECEMBER 31st, 2013. UMPG and PANDORA entered into direct negotiations for a license for that repertoire. That license, signed on DECEMBER 31st, means that UMPG and its songwriters and composers will not be subject to the PANDORA/BMI rate court proceeding. The market, rather than a rate court judge, determined appropriate terms.
"Our deal with PANDORA is another step toward reaching our goal of ensuring that there is a vibrant digital marketplace where both music services and the songwriters and composers who make those services possible can thrive," EMPG Chairman/CEO ZACH HOROWITZ said. "This arrangement will allow music fans to enjoy our music on PANDORA while protecting our songwriters and composers.
"Today, songwriters and composers are too often denied fair compensation for their work because BMI and ASCAP, the two major performance rights organizations that license these services, are regulated by antiquated consent decrees, conceived in a different century for a different world," HOROWITZ continued. "The decrees make government mandated rate courts the final arbiters of fees -- especially problematic in the rapidly evolving digital marketplace where an absence of market benchmarks may make that impractical, and where the consent decrees restrict the courts from customizing arrangements to address the full array of issues that may arise. Direct negotiations between a willing buyer and willing seller offer the best approach to empowering services while securing reasonable fees and terms for songwriters and composers. UMPG's deal with PANDORA for our BMI repertoire is a prime example of this."