This comes as tensions rise between Spotify and the National Music Publishers’ Association over the streaming service’s new music and audiobook bundle
The National Music Publishers’ Association (NMPA) has sent a cease and desist letter to Spotify for allegedly “hosting unlicensed musical works in its lyrics, videos, and podcasts, and by distributing unauthorised reproductions, synchronizations, displays, and derivative uses of these musical works to its users.”
The NMPA claims that through their new music and audio bundle, Spotify “appears to be engaged in direct infringement by hosting unlicensed musical works in its lyrics, videos, and podcasts, and by distributing unauthorised reproductions, synchronizations, displays, and derivative uses of these musical works to its users.”
The letter, written by NMPA’s executive vp and general counsel Danielle Aguirre, goes on to demand “that unlicensed lyrics, music videos, and podcasts be removed from the platform or Spotify will face copyright liability for continued use of these works.”
However the letter, obtained by Billboard, does not cite any specific unlicensed works nor does it say how many instances there are of unlicensed works on Spotify. If a legal case is pursued, more information may be released to the public.
The National Music Publishers’ Association (NMPA) represents the three major music publishing companies – Universal Music Publishing, Warner Chappell, and Sony Music Publishing) alongside many other independent publishers.
“As the voice of our members, NMPA protects, promotes, and advances the interests of music creators and enforces the rights of publishers, and their songwriter partners, who own and/or control musical work copyrights,” the letter continues.
This letter hasn’t come out of nowhere, but is instead a result of rising tensions in the industry between streaming giants, publishers and artists.
The waters around leasing and licences are muddy – especially with streaming services.
Unlike government-regulated processes of settling royalties, lyric and video licences are direct deals between the publisher and the streaming services or involve third party aggregators.
Spotify’s recent expansion to include audiobooks has meant that licensing has become even more complicated.
Following a settlement NMPA and Spotify agreed to in 2022, Spotify purports to be eligible to pay less on the royalties of content published on the platform, since both audio and audiobooks fall under their new bundle.
As a result, publishers and songwriters are set to see a reduction in royalties (of about $150 million according to Billboard) through Spotify subscriptions – something they aren’t happy about.
A spokesperson for Spotify has responded to the NMPA’s letter, replying “This letter is a press stunt filled with false and misleading claims. It’s an attempt to deflect from the Phono IV deal that the NMPA agreed to and celebrated back in 2022. We paid a record amount to benefit songwriters in 2023, and we are on track to exceed this amount [globally] in 2024. Spotify is a platform for licensed content. We are committed to the integrity of our platform, and we have a clear process in place for rights holders to contact Spotify about any content they believe is unlicensed.”
Words By Annalise Lordess
