Also today: Creator groups criticise slashing of private copy compensation in Finland

We've covered the music business

each day since 21 Jun 2002

Today's email is edition #5275

Wed 7 Aug 2024

In today's CMU Daily: Cox Communications' latest attempt to overturn a $1 billion copyright infringement ruling has been rebuffed by the major labels. The ISP claims evidence mishandling, but the majors say that Cox “lost this case in a fairly litigated trial", urging the court to reject its attempt to force a retrial


One Liners: What do you do when you get sidelined as top dog at a major? Remind yourself that you’re JULIE FUCKING GREENWALD, pick yourself up and get on with things. Also today: Sentric, Gamma, Believe, Bandlab, ProRata.ai, IPOA, SoundExchange, Paquin, Sony, WMG, Hybe plus Pitbull’s $6m stadium deal + more


Also today: Finland’s decision to halve private copying compensation to €5.5 million has drawn the ire of creator groups. Critics argue that the cut violates EU law and jeopardises funding for crucial arts programmes, while demanding a return to €11 million and warning of “harmful and destructive” consequences


Majors hit back at Cox’s latest attempt to overturn billion dollar copyright ruling

The major labels have hit back at the latest attempt by US internet service provider Cox Communications to overturn the 2019 billion dollar judgement that held it liable for its users’ copyright infringement.


This time Cox is trying to use Rule 60 of the US Federal Rules Of Civil Procedure to overturn the copyright ruling. That rule says a court can “relieve a party from a final judgement” in various scenarios, including if it turns out the other side misbehaved during trial. 


Cox claims the majors mishandled key evidence in the case. That claim was previously rejected by the district court, but the ISP has taken the matter to the Fourth Circuit Appeals Court. 


In a new filing with the appeals court, the majors say, “Cox lost this case, in a fairly litigated trial where it had every opportunity to defend itself. Cox - and its appellate counsel - clearly regret some of its trial team’s decisions. But Rule 60 does not provide a pathway to re-try a case with the benefit of hindsight”.

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ONE LINERS

Deals

  • Sentric has signed an administration agreement and formed a creative joint venture with Cooking Vinyl Publishing. 
  • Gamma, the media company founded by former Apple Music executive Larry Jackson, has established strategic partnerships with several African and Middle Eastern music entities. 
  • Believe has fully acquired Doğan Music Company, reportedly Turkey’s largest independent label, by purchasing the remaining 40% stake for €38.3 million. 
  • BandLab has partnered with London’s Strongroom Studios to create exclusive royalty-free sample packs for its online music production platform. 
  • Universal Music has partnered with ProRata.ai, a new venture developing technology to compensate content owners when generative AI uses their work. 
  • IPOA has been established as the new collecting society for performance rights in the country of Georgia, replacing the previous society after winning a government-sponsored open competition. 
  • Warner Chappell Music has signed singer-songwriter and producer Hueston to a publishing deal. 

Appointments

  • US collecting society SoundExchange has appointed Jessica Roffe as Associate Director on its industry relations team. 
  • Julie Greenwald has announced her unexpected departure from Warner Music’s Atlantic Music Group during an emotional staff meeting. 
  • Canadian talent agency Paquin Entertainment Group has appointed Andrew Akman as Chief Operating Officer. 
  • Venue operator ASM Global has appointed Ralph Marchetta as Regional Vice President of Live Entertainment. 

Labels, Publishing & Distribution

  • Sony Music has reported its financial results for its fiscal first quarter ending 30 Jun, with recorded music revenue up 26% to $1.8 billionand publishing revenue rising 28.7% to $602 million.
  • Warner Music has reported its fiscal third quarter results for the period ended 30 Jun with total revenue hitting $1.554 billion. 
  • HYBE has reported record quarterly revenue of $465 million for Q2 2024, a 3.1% year-on-year increase, despite a sharp 85.9% drop in net profit.

Legal

  • Rammstein frontman Till Lindemann has filed a criminal complaint against German news outlet Der Spiegel over its reporting of sexual misconduct allegations from 2023. 
  • Space Ibiza has been forced to rebrand its residency at Eden nightclub as “NOSPACE” following a trademark dispute. 
  • Former US President Donald Trump has claimed that Georgia District Attorney Fani Willis is treating rapper Young Thug “unfairly” in his ongoing criminal trial. 
  • BTS member SUGA has been fined and had his licence revoked for riding an electric scooter while intoxicated in Seoul. 

Live

  • Journey have cancelled their upcoming UK and Ireland tour due to “circumstances beyond the band’s control”, amid escalating internal strife. 
  • The Australian government has launched the Revive Live Program, offering $8.6 million in grants to support established live music venues and festivals across the nation. 
  • Lauryn Hill and The Fugees have abruptly cancelled their US ‘Miseducation Anniversary Tour’ three days before its scheduled start, with no reason provided to fans. 
  • Pitbull has secured naming rights for Florida International University’s football stadium in a deal worth $6 million over five years.

Other industry news & events

  • Taylor Swift has dominated the nominations for the 2024 MTV Video Music Awards, securing ten nods including Video Of The Year

Releases & Tours

👉 Read today's One Liners in full

Finland slashes private copying compensation, sparking creative industries backlash

The Finnish government’s decision to halve state-funded compensation for private copying from €11 million to €5.5 million has drawn sharp criticism from organisations representing creator collecting societies. CISAC and GESAC, which both represent songwriter societies, are among those condemning the move.


Compensation for private copying is intended to reimburse creators and copyright owners when individuals make private copies of their works, and is distributed to rightsholders and funding schemes through the collective licensing system. 


The significant reduction in revenue will, say the creator organisations, have “harmful and destructive consequences for authors and the whole creative ecosystem in Finland”. They go on to add that the Finnish government is failing to meet its obligations under European law to “organise and secure fair compensation” for creators. 



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