CRB Comment Period for Mechanical Rate Settlement Draws Supporters, Detractors — and Stevie Wonder?
Much of the unease around the settlement involves what some say is an incorrect perception that the mechanical rate will be lowered at the start of the period.
The Copyright Royalty Board (CRB) is currently accepting comments on the mechanical rate settlement for songs in the 2028-2032 five-year term. This decision includes a cost-of-living adjustment (COLA) each year to the current rate. A diverse array of companies and music trade organizations, including some key negotiators, have voiced their support for the settlement.
However, there are objections from organizations claiming to represent numerous songwriters and publishers, as well as typical U.S. music industry critics. These detractors argue that the settlement may lower the rate back to 12 cents for the five-year period, instead of beginning with the current 13.1 cent level, which has room for additional annual adjustments.
Some have even proposed higher rates, such as 15.6 cents or 22 cents per minute for songs exceeding five minutes in length. The settlement, which covers revenue for songwriters from sales of CDs, vinyl, cassettes, downloads, and ringtones, is backed by organizations like the National Music Publishers Association, the three major record labels, the Nashville Songwriters Association International, the Music Artists Coalition, and numerous independent music publishers.
The CRB will have to address the starting rate question based on these comments before finalizing the decision.
Written by urgent.news from Billboard's reporting — not their text. Machine-written — it may contain errors, so check the original before relying on it.
