WIPO Report Summary: Streaming Remuneration Paid By Platforms Through CMOs is Best Solution

On June 1, 2021, the World Intellectual Property Organization (WIPO) published a report studying the 'Artists in the Digital Marketplace: Economic and Legal Considerations' prepared by Christian Castle and Professor Claudio Feijóo.

A summary written by Christian Castle is now available.

The key takeaway from this report is clear. The revenue generated from streaming music is distributed disproportionately, with non-featured performers getting nothing and featured performers getting almost nothing.

The report recommends one particular mechanism - a remuneration right with mandatory collective management: "It seems that the policy goals and principles of equitable remuneration are best fulfilled by a streaming remuneration in the nature of a communication to the public royalty that is outside of any recording agreement, is not waivable by the performer and it is collected and distributed by performers’ CMOs."

This WIPO report is a clear signal to EU Member States on how to transpose Article 18 of the Copyright Directive. The mechanism of an unwaivable remuneration right, collectively managed, gives performers the remuneration they are entitled to. This remuneration right is for all performers - actors, session musicians and all other performing artists.

Read an effective summary of the report by one of the authors, Christian Castle, right here.

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