Friday, June 28, 2013

A New Service for Collecting #Music #Royalties From YouTube


Last week, TuneCore co-founders Jeff Price and Peter Wells announced the launch of Audiam — a new service designed to help artists make money off their music when it’s part of user-uploaded content on YouTube. As you probably are aware, there’s a lot of music on YouTube, and not all of it is licensed from the rightsholder. YouTube already has a system called Content ID in place that allows rightsholders to block or allow a user-uploaded video that contains copyrighted material when it is posted. Owners can choose between 1) refusing the use 2) allowing it and “tracking” views, demographics, referrals and engagement or 3) monetizing the use through revenue-sharing from ads. Major and independent labels as well as publishers have been utilizing Content ID for at least a couple of years; Audiam aims to make the system more accessible to unaffiliated and self-published musicians and songwriters.

Through a partnership with YouTube, Audiam will allow artists to upload tracks to be digitally “fingerprinted” using YouTube’s Content ID tools for automated identification in YouTube videos. When the service recognizes a track, rather than issuing a takedown notice, YouTube will place an advertisement in the user’s video to generate ad revenue and pay for the license. YouTube takes 45 percent of revenue generated for hosting the content and brokering the deals with advertisers, and Audiam takes 25 percent. Notably, Audiam collects royalties for both the composition and the recording, so an artist must control both to make money on a track.

Of course, 25 percent might seem a bit steep for an automated service. But consider that artists pay nothing to sign up, which keeps the initial risk low. There’s also the potential that some artists will fare better with Audiam than without, particularly if the service gets big enough to gain greater bargaining power with YouTube. (Keep in mind that YouTube already offers direct partnerships with content creators — including musicians — who upload material to which they own all the rights. Audiam provides an artist with the ability to make money from third-party uploads containing their music.)

To read the rest of this informative article, click here.