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The Digital Music Performance Royalty Apocalypse

The digital music streaming market is over fifteen years old, and yet in all that time not a single music service has ever posted an annual (much less cumulative) profit. Is it possible, as content owners claim, that this is due solely to mismanagement by digital music services and their inability to devise a workable revenue model? Or is the rent just too damn high?

This presentation will discuss the complex web of music licensing issues facing digital music services, the history of those services and recent developments threatening to drive digital music royalty costs even higher in 2014 and beyond. The presentation will also cover the problems created by the divergent business goals of musical content owners and digital music services, and possible solutions to those problems.




Paul Fakler, Partner, Arent Fox LLP

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