Month: october

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As the music industry heads more towards distributing through music services on line, new business models are coming to surface. The question is now, how will labels and publishers be compensated? On September 23rd labels, publishers, and digital music services came together and agreed on a mechanical royalty structure connected to ad-supported streaming music and subscription services. This agreement is a step towards supporting a future in music distribution in the digital music market place. In the article, innovative music models that were discussed were Myspace Music, Sandisk’s Slotmusic, Nokia’s comes with music, and Sony’s Playnow Plus. Each business model explains the way in which labels and publishers will be compensated for their involvement in the particular venture. In some cases the labels will receive cuts off generated revenue, and in others publishers will be paid royalties and whatever rate that is set by the CRB judges.