Newly Combined Sony/ATV-EMI Negotiates 25% Increase in Pandora Royalties
Big news for songwriters! The newly combined music publisher Sony/ATV-EMI has negotiated an increase in royalties from Internet radio player Pandora. The deal, which will reportedly run for the next 12 months, will increase the royalties made from Pandora by a whopping 25%. The news comes as a somewhat surprise. Pandora has been very outspoken recently about what they claim to be already steep rates. That’s not to mention their other financial woes…
However, the move makes sense for rights holders. On January 7th, Pandora reported that listener hours in December of 2012 were up by 54% compared to hours recorded from the prior year (an increase from 906 million to 1.39 billion). This deal could lead to an increase for others within the music industry looking to capitalize on the ever-growing digital market.