Spotify and Amazon to not sue songwriters

HIGHLIGHTS

•     Musicians, producers and songwriters are gathering against Spotify and Amazon
•     Spotify, Google, Pandora and Amazon have all filed to the petition
•     Apple Music to stay out and not file an appeal
•     Musicians and songwriters need not worry about the outcome

Musicians, producers and songwriters are gathering against Spotify and Amazon’s plans that are planning to “sue songwriters” over augmented streaming royalties. There is an outrage from some half-truths: Spotify and Amazon aren’t suing songwriters, they’re trying to request the U.S. Copyright Royalty Board (CRB) decision last year to increase payout rates to songwriters by 44% over the next five years, as reported by Variety. 

Last year the CRB ruling made in January, which supported the National Music Publishers’ Association (NMPA) and the Nashville Songwriters’ Association International, was published in February this year, and it gave an opportunity for firms to appeal the decision for a 30-day window. Now, Spotify, Google, Pandora and Amazon have all filed to petition.

Whereas these four tech giants have decided to fight the ruling, Apple Music has decided to stay out of this and won’t file an appeal. In a statement about the appeal, David Israelite, NMPA President praised Apple Music for “continuing to be a friend to songwriters”, but blasted Spotify and Amazon for their decision to “sue songwriters in a shameful attempt to cut their payments by nearly one-third.” That statement emerges to be where the misinformation came from.

It’s unknown whether the NMPA’s statement was released before Israelite knew Google and Pandora were planning to file an appeal as well since he doesn’t mention those two companies. But Israelite’s quote gained a grip on music publications, sparking rage among artists against the two firms on Twitter.

Musicians and songwriters shouldn’t be too worried about the outcome, though an appeal may be upsetting news. Jeff Becker Entertainment lawyer of Swanson, Martin & Bell said, it was anticipated for some time that these platforms would take the opportunity to preserve their bottom line through an appeal. He believes the court will likely side with the increased royalty rate.