Tuesday 2 March 2010

UK music Industry: Regulation & Control

The music business is largely a self-regulated industry - everyone seems to be involved in some aspect of control, from individual artists to unions and corporate giants, from publishers to licensers, from collecting agencies such as MCPS,PRS,PPL and VPL to copyright and trademark offices.each organisation in the music industry have their responsibilities.
Firstly,just as the office of communication(known as ofcom),which is an independent telecommunications regulator and competition authority for the communication industries in the UK.The UK copyright collective (also known as a copyright collecting agency or copyright collecting society) is a body created by private agreements or by copyright law that collects royalty payments from various individuals and groups for copyright holders. They may have the authority to license works and collect royalties as part of a statutory scheme or by entering into an agreement with the copyright owner to represent the owners interests when dealing with licensees and potential licensees in the UK music industry.

2. MCPS (Mechanical Copyright Protection Society)
In the UK the MCPS exists to oversee the collection and distribution of "mechanical publishing/composer royalties" generated from CD, DVD etc sales. Royalties take the form of a license fee that pays for permission to duplicate a recording. Therefore this fee is normally collected before duplication of a CD, DVD etc, although smaller labels and composers financing their own recordings and selling them can apply for a license that allows them to pay (often themselves!) retrospectively as sales income comes in.

3. PRS (Performing Rights Society)
The music copyrights generate a second lot of royalties when performed or broadcast live. In the UK the PRS exists to collect and distribute these royalties directly to composers.However the PRS For Music responsibilities is also to find venues such Wembley Arena,Royal Albert Hall,Large Provincial theatres,and broadcasters(for example BBC Radio 1),for performance. and they also samples smaller venues that host live performance.

4.VPL (Video Performance Limited)This organisation licenses the right to perform music video recordings (usually by broadcasters, clubs and pubs). Like their parent PPL they collect royalties for record companies but don’t pay royalties to music performers.


5. Songrite UK (Copyright Office)
This company is responsible for issuing copyright to songs,music and lyrics in the UK.Songrite is a leading global copyright registration service, used by both up and coming and professional songwriters who wish to claim and declare rightful ownership of their music based works. they register and secure the copyrights of new songs, music and lyrics in the UK music industry.

Note: in February 2008 the UK government launched a Green Paper on the Creative Industries, which advocates a similar ‘three strikes and you’re out’ policy, in which identified illegal downloaders are first warned, then suspended and then ultimately banned from using the internet by their ISPs. Similar initiatives are also being launched at a European level. The EU Telecommunications Package, agreed by MEPs last July, requires national regulators such as Ofcom to promote ‘cooperation’ between ISPs and parties ‘interested in the protection and promotion of lawful content’, which arguably requires such regulatory bodies to force ISPs to become regulators of consumer behaviour.

Futher Reading:
click on the link (www.bemuso.com) to view the UK collecting music royalties and the diagram and also the collection right societies in the rest of the world.

References
1. http://www.bemuso.com/musicbiz/collectionsocieties.html#collectingmusicroyalties
2. www.songrite.co.uk
3. www.http://en.wikipedia.org/wiki/PRS_for_Music

5 comments:

  1. so really, what this article is saying is what we already know which is that unlike the telecomunications industry the music industry is not being regulated at all. there are individual parties involved, corporate labels, music press (owned by corporate labels) and royalty collection services collecting royalties for the corporate labels and central to these is the BBC, supporting the corporate labels and profiting from the products they promote together.

    there is a basic rule at the collection bodies that a radio station only needs to pay royalties on products that receive a large number of plays. this excludes the vast majority of music makers in the uk and is i beleive one of the areas where the corporates that make up the music industry, including the BBC, are acting against commercial legislation.

    a complete unknown can receive great development support from labels and multiple radio plays each day making them well known. thus the myth of fame is created. the label profits, the music press profits, the royalty collection service profits and the BBC profits from documentary programmes perpetuating false information about music, always looking to promote their favourites, videos, iplayer subscriptions, jobs for BBC employees and book publications, all paid for by UK license payers.

    in short a very small number of people are permitted to thrive in the UK music industry while many thousands of musicians and artists are literally thrown away. self regulated? thats a joke.

    does the UK music industry need regulation?

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