Digitalisation of Caribbean music workshop, The role of CMOs in the digital and live music markets.

1. Barbados Beach Club February 21 & 22, 2018
Erica K. Smith & Dr. Wendy Hollingsworth
The Role of CMOs in the
Digital and Live Music
Markets
Michael Battiston MeBattiston Consulting Services

2. Why CMOs?
• Music is someone’s intellectual property, i.e., someone owns the
‘copyright’ – permission is required to use it
• Copyright owners offer licenses to those who wish to use or
acquire music, in exchange for a fee
• For help with this, copyright owners usually affiliate with a local
collecting society
• Music users (i.e., broadcasters, digital service providers,
businesses) obtain licenses from a local collecting society
• Why do both copyright owners and music users turn to collecting
societies?

3. Collective Administration Benefits
Copyright Owners
Owner
Society
User
User
User
User
User
User
A copyright owner can make its
music available to all music
users who want it.

4. Collective Administration Benefits
Music Users
Owner
Society
User
Owner
Owner
Owner
Owner
Owner
A music user can get
permission to use music from all
copyright owners.

5. Owner
Society
Owner
Owner
Owner
Owner
Owner
User
User
User
User
User
User
Collective Administration Model

6. PROs Administer Rights of Copyright Owners,
Not Performing Artists
Performing
Artists
Performing Right Organization ‘Neighboring’ Right Organization
Where this happens to
be the same, both
organizations will pay
royalties
Authors are:
Songwriters
Composers
Lyricists
Arrangers

7. Blanket License – Use All the Music You Want!

8. Process Disruption Due to
Online Commerce
• For online transmission of music, counting usages is relatively
easy
• Copyright owners unhappy about lack of transparency in the
blanket licensing process
• Disruption has led to massive changes in licensing, reporting,
and payment flows

9. A Departure from Tradition
Traditional ‘Blanket’ License

10. The Traditional Model
$ Song
Registrations
Song
Database
Song Usages
Usages
Database
Matches?
Royalty
Statement

11. The Digital Model
€ DDEX
CCID
Song
Registrations
Song
Database
High
Volume
Usage
Reports
Usage
Database
Matches?
Claim +
Invoice

12. The Digital Era and the Need for
Identifiers
• Volumes were lower in the past:
• Writers and publishers
• Work registrations
• Recordings
• Performances and sales
• Matching and identifying were done using simple algorithms or entirely manually
• Exponential volume growth has forced a radical change in approach

13. YouTube- ISNIs

14. Minimum Data Set Required for an ISWC
• Work Title
• All authors (not publishers!) identified by role code and IPI Name
Number
• Version Type