Popular music streaming services such as Apple and Spotify paid a record $ 424 million royalties to the Mechanical Licensing Collective, appointed by the US Copyright Office.
Commissioned by the US Copyright Office, Mechanical Licensing Collective (MLC) has been providing mechanical licenses to digital music providers since the beginning of 2021. The organization will then collect the royalties due under these licenses and distribute them to songwriters, composers and music publishers.
MLC announced a record royalty payment of $ 424 million from music streaming services, including Spotify and Apple Music, under the limitation of liability for past violations of the Music Modernization Act (MMA) passed in 2018. These companies also delivered more than 1,800 data files to the organization containing more than 1.3 terabytes and nine billion rows of data.
Highest payment from Apple
The highest royalty payment transferred from digital broadcast platforms to MLC was made by Apple. The company paid more than $ 163 million to the organization for its digital music service Apple Music. In second place is Spotify, the popular Swedish digital music platform with $ 152 million.
There are two more giants who paid high amounts to the MLC. One of them is Amazon, which paid $ 42 million in royalties. The other is Google, which paid $ 32 million for Google Play Music and YouTube. The money collected from a total of 20 music streaming services will begin to be distributed to copyright holders from April.