The American Society of Composers, Authors and Publishers
distributed more than $851.2 million in royalties to its members in
2013. That’s up some $24 million from 2012. Domestic distributions totaled $527.9 million, up 6.1 percent.
ASCAP said its revenues remained strong at $944.4 million, led by a
$13.2 million increase in domestic receipts boosting ASCAP’s financial
growth, primarily from its new media and general licensing areas.
However, its operating expenses rose, standing at 12.4 percent in 20013,
versus 11.3 percent the prior year “due to the litigation expenses incurred as a
result of ASCAP’s ongoing rate court proceeding with Pandora, which is
seeking to lower the royalties it pays to songwriters and composers,”
according to ASCAP.
ASCAP said it’s licensing music to “hundreds of thousands of
enterprises” who use it in their business — from bars, restaurants and
retail, to radio, TV and cable, to Internet and mobile services. The
organization has expanded its satellite radio survey, saying this has
resulted in 18,000 additional members getting paid and an additional 3 million performances processed in one quarter.
Through the use of pattern recognition technology, ASCAP is now
identifying musical works — mostly instrumental — on radio, TV
and cable, even when voice-overs or sound effects are mixed with the
music, increasing the number of performances tracked.
Public performance royalties are becoming a more vital source of
income in the digital age, said ASCAP CEO John LoFrumento. He adds that
the organization believes it’s time to update the regulations that
govern music licensing. “ASCAP is working to shape a future which
preserves the enormous benefits of the collective licensing model, while
better reflecting how technology is changing the way people listen to
music and the competitive landscape in which we operate.”