music licensing in digital environment(tina lee)

8/9/2019 Music Licensing in Digital Environment(Tina Lee)

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ABU 16ABU 16thth Copyright CommitteeCopyright Committee

SeminarSeminarJakarta, IndonesiaJakarta, Indonesia

15 April 201015 April 2010

Music Licensing in a Digital EnvironmentMusic Licensing in a Digital Environment

byby

Ms Tina Lee, LawyerMs Tina Lee, Lawyer


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ContentsContents

Differences in the analogue and digitalDifferences in the analogue and digitalenvironment in respect of use of musicenvironment in respect of use of music

Impact on broadcasting businessImpact on broadcasting business

Trend in digital music licensingTrend in digital music licensing What advantages can broadcasters exploreWhat advantages can broadcasters explore

Music licenses required and their principalMusic licenses required and their principaltermsterms

Negotiate for the best termsNegotiate for the best terms Factors to be considered for fee structureFactors to be considered for fee structure

ConclusionConclusion


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Differences in the analogue andDifferences in the analogue and

digital environmentdigital environment

HardwareHardware -- technical, equipment,technical, equipment,infrastructureinfrastructure

Software (content)Software (content) -- quality, multiplequality, multipleapplicationsapplications

Music as part of the content componentMusic as part of the content component

can be separately exploitedcan be separately exploited


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Impact on broadcasting businessImpact on broadcasting business

Broadcast is still the most efficient andBroadcast is still the most efficient andpowerful mediapowerful media

Need to explore new business models toNeed to explore new business models to

remain competitiveremain competitive Convergence of media distribution platformsConvergence of media distribution platforms Simultaneous Web and TV broadcast, catchSimultaneous Web and TV broadcast, catch--

up servicesup services

Reassess the usage of music in new contextReassess the usage of music in new context Adequacy of existing music licensesAdequacy of existing music licenses


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Trend in digital music licensingTrend in digital music licensing

Licensing in new formats and channelsLicensing in new formats and channels

More comprehensive services andMore comprehensive services and

flexibility to consumersflexibility to consumers

Digital music revenues increased byDigital music revenues increased bydouble digit percentagesdouble digit percentages

(see chart)(see chart)

Scope of rights are expandedScope of rights are expanded


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Digital Music RevenuesDigital Music Revenues

.

.

.

3

3.

4

4.

4 6 7 8 9

U$

billin

D igital M usic Revenues U$ bill i ns

u c e : P


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Advantages that broadcastersAdvantages that broadcasters

can explorecan explore

Online availability to consumersOnline availability to consumers

Deeper connection with consumersDeeper connection with consumers Digital song taggingDigital song tagging

Added value to consumersAdded value to consumers

New business opportunitiesNew business opportunities

Mobile TVMobile TV


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Music licenses requiredMusic licenses required

How will music be used? Any new usage?How will music be used? Any new usage?

What are the scope of existing licenses?What are the scope of existing licenses?

ublic performance rightsublic performance rights

Reproduction rightsReproduction rights

Own produced programmesOwn produced programmes

New mediaNew media new licenses and additionalnew licenses and additional

costs?costs? Who are responsible?Who are responsible?

AllAll--Media LicenseMedia License


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Principal terms in music licensesPrincipal terms in music licenses

Scope of rightsScope of rights Operating platformsOperating platforms

Geographical limitationGeographical limitation DurationDuration Fee structureFee structure fixed, variablesfixed, variables Reporting obligationsReporting obligations IndemnitiesIndemnities Any other restrictionsAny other restrictions


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Negotiate for the best termsNegotiate for the best terms

Understand yourbusiness requirementsUnderstand yourbusiness requirements

Know your counterpartsKnow your counterparts Joint/industry negotiationJoint/industry negotiation

CollaborationCollaboration

Mediation, Copyright Board/TribunalMediation, Copyright Board/Tribunal


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Factors to be consideredFactors to be considered

for fee structurefor fee structure

Nature and volume of music contentNature and volume of music content

RatingRating RevenuesRevenues

Reporting obligationsReporting obligations

other precedents in relevant jurisdictionsother precedents in relevant jurisdictions


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ConclusionConclusion

Meet consumers demand and remainMeet consumers demand and remain

competitivecompetitive Music licenses should be all embraciveMusic licenses should be all embracive

Balancing of power, interests andBalancing of power, interests andneedsneeds

Mutual benefits for creative industriesMutual benefits for creative industries


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THANK YOU !THANK YOU !

music licensing in digital environment(tina lee)

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