The August 4th decision by the United States Department of Justice (DoJ) not to modernize the consent decrees that govern performing rights societies ASCAP and BMI, and its plans to force a “full-work” licensing model into the market, are the equivalent of an earthquake for the global music community, and most of all for songwriters. It opens a new era full of uncertainty for the music industry.
CISAC, which regroups 239 societies from 123 countries, including ASCAP, BMI, SESAC and AMRA in the United States, has been monitoring the evolution of the licensing ecosystem in the US with much concern. Because of the size of the US market and its influence in the world, any changes in the way our US members operate has consequences for sister societies, songwriters and music publishers worldwide.
We had high hopes that the DoJ would have taken these factors into account and come up with solutions to ensure a better, more efficient licensing system in the US in its two-year review of the ASCAP and BMI consent decrees. Yet for some reason the much-needed reform of the US licensing landscape took a wrong turn at the expense of creators, music publishers and their societies.