Summary: Streaming revenue for songwriters and composers reached 10.83 billion euros in 2022, surpassing TV and radio royalties and contributing to a 34% increase in digital royalty collections. However, the future outlook remains uncertain due to concerns over consumer spending and budget constraints for live performances.
Streaming Revenue Surpasses TV and Radio Royalties
A report by the International Confederation of Societies of Authors and Composers (CISAC) revealed that streaming became the largest source of income for songwriters and composers in 2022. Revenue from digital royalties increased by nearly 34% to 4.2 billion euros as more consumers subscribed to music and video streaming services. Streaming collections have doubled since the pre-COVID era and now make up 35% of total collections for music creators.
Live and Public Performance Royalties Experience Rebound
Royalties from live and public performances, including concerts, exhibitions, and theaters, rose by 69.9% to 2.68 billion euros in 2022. This marks a significant increase from the pandemic-hit levels but remains lower than the 2019 figures of around 7.9%. The report suggests that live entertainment is rebounding in 2023 due to pent-up demand and could potentially surpass pre-pandemic levels.
Future Uncertainty for the Music Industry
While the music industry has seen growth in streaming and live performance revenues, the report highlights concerns over the future. The outlook beyond 2023 is uncertain, with worries about consumer spending and the allocation of touring budgets for artists. Additionally, the impact of artificial intelligence on the industry’s earnings is a growing concern, and the report emphasizes the need for collaboration between creators, tech firms, and policymakers.
Spotify’s Impressive User Growth
Streaming giant Spotify reported a 26% increase in its monthly active users, reaching 574 million in the third quarter of 2022. This surpassed both Spotify’s own guidance and analysts’ forecasts, indicating the continued popularity of music streaming platforms.
The Role of CISAC
CISAC, the International Confederation of Societies of Authors and Composers, is a network of authors’ societies that protect rights and represent the interests of over four million creators in various artistic fields. The organization plays a crucial role in monitoring and reporting on the financial landscape of the music industry.
Tags: music streaming, songwriters, composers, digital royalties, live performances, future outlook, Spotify, CISAC, revenue growth, artificial intelligence