WASHINGTON, Aug. 5, 2015 /PRNewswire-USNewswire/ -- SoundExchange announced today that it has paid more than $3 billion in digital royalties to recording artists and record labels since the organization became a wholly independent non-profit in 2003. This monumental achievement signifies the explosive growth of the digital radio space and the crucial role digital radio plays in the music revenue ecosystem. At the center of the digital music space, SoundExchange is the financial backbone that directly pays artists and labels on a monthly basis.
"Three billion dollars in distributions marks a phenomenal milestone not just for SoundExchange, but for the entire music industry," said SoundExchange President and CEO Michael Huppe. "While we celebrate this great achievement, SoundExchange continues to advocate for every artist and label to be paid fairly whenever their music is used on every platform. There are platforms that are currently not paying a dime for the music they use to build their billion dollar empires and the future of music depends on all creators being paid fairly for their hard work and creativity."
In 2014, SoundExchange paid $773 million directly to more than 100,000 recording artists and record label accounts. Those 2014 payments represented approximately 16 percent of total revenues for the entire U.S. recorded music industry.
"SoundExchange's $3 billion in payments is a tremendously important achievement for our industry. Their continued investment in technology and systems reinforces their leadership position in terms of efficiency and transparency, providing an example of how effective the music industry can be," said Molly Neuman, acting president, A2IM.
In the last twelve months SoundExchange has delivered more innovation than at any other point in the organization's history. This important investment has enabled SoundExchange to efficiently and transparently pay out royalties at the lowest administrative rate in the industry. Tech developments will continue to roll out throughout the end of this year that will bring more tools to the industry.
Celebrate $3 Billion and Counting
To celebrate, SoundExchange is asking all artists and labels to recognize this achievement by tweeting or mentioning @SoundExchange using the hashtag #3BillionPaid. Artists are also asked to share their videos in an effort to encourage continued support for and growth of digital royalty payments. Share your thoughts with thousands of SoundExchange followers today.
SoundExchange is the independent non-profit collective management organization representing the entire recorded music industry. The organization collects statutory royalties on behalf of over 100,000 recording artists and master rights owners for the use of their content on satellite radio, Internet radio, cable TV music channels and other services that stream sound recordings. The Copyright Royalty Board, created by Congress, has entrusted SoundExchange as the sole entity in the United States to collect and distribute statutory digital performance royalties from more than 2,500 services. Since 2003, SoundExchange has paid out more than $3 billion in royalties. For more information, visit www.SoundExchange.com or www.facebook.com/soundexchange.