Music industry watchers wondered this week when Sony/ATV struck a new European licensing deal with streaming service Spotify.
Just in December, Sony/ATV head Martin Bandier vowed to reform what he said was a system of unfair royalties paid to his artists by Spotify and rival Pandora.
"I will not rest until the present system is reformed," he told staffers. "This is a totally unacceptable situation and one that cannot be allowed to continue."
Sony/ATV's home to Lady Gaga, Iggy Azalea and Spotify-slamming Taylor Swift. But on Wednesday, Bandier was "thrilled" and "delighted," according to an announcement over the Spotify pact.
"We share two important goals — growing the market for paid music subscription services for the benefit of music lovers everywhere while delivering fair compensation to our songwriters for the use of their songs," he said.
So what changed? Bloggers guessed Bandier struck a better deal, while an insider told us his views "obviously evolved." Yet another source noted, "The deal was wasn't with Spotify in the US, but Europe." And, "The rules are very different in the US when it comes to licensing music . . . In Europe, music publishers can negotiate directly with music services." Here, they go through orgs like ASCAP and BMI, so "nothing has changed in terms of 'the rules of the game,' " the source said. Stay tuned.
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