In today's CMU Daily: Pandora says that the Music Licensing Collective is wrong in its view on whether or not the streaming service is interactive or non-interactive - and also thinks that MLC is wrong to have a view at all...

One Liners: TikTok, Cloud 9 Music, beatBread deals; Virgin Music Group promotion; Nothing Forced launches; Elrow to receive Beatport Award; Kerry King London show; new music from Kate Nash, Yannis Philippakis and Tony Allen, Cigarettes After Sex, Machinedrum, Martha Skye Murphy

Also today: Russell Simmons tries to get sexual assault lawsuit dismissed; A Greener Future launches festival sustainability report; Amazon Music launches AI playlisting tool

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MLC lawsuit is “wild overreach” says Pandora, accusing US mechanicals society of “legal frolics”

A lawsuit filed against US streaming service Pandora by the MLC is “a wild overreach” of the US mechanical rights collecting society’s remit. Or so says Pandora, in its response to that lawsuit. As well as disputing the claims made against it - the MLC “apparently thinks it knows better than the entire music publishing industry”, it says - Pandora reckons that the society, paid for by the digital platforms, isn’t meant to use its funding to “pursue legal frolics and detours”. 

Expanding on that theme, Pandora argues that the MLC - which was created by the 2018 US Music Modernization Act - is not “authorised to play judge and jury over a streaming service’s legal compliance”, nor can it “insist that Pandora fundamentally change its approach to licensing an entire tier of its service solely because the MLC has taken upon itself to press a legally incoherent position at odds with the view of the rest of the music industry”. With that in mind, it adds, the court should dismiss the MLC’s lawsuit. 

This dispute centres on what licences Pandora requires when it comes to the songs that its users stream. With on-demand streaming, like Spotify, it is agreed that services exploit both the performing rights and the mechanical rights of songs. In some countries, these different elements of the song copyright are licensed separately. In the US, collecting societies like BMI and ASCAP license the performing rights, while the MLC administers the compulsory licence that covers mechanical rights. 

Pandora offers an on-demand streaming service which is licensed in that way. However, the core Pandora product - Pandora Free - is an ad-funded personalised radio service which doesn’t allow users to pick tracks on-demand except in certain circumstances. Under the US system that is classified as ‘non-interactive’ and it has generally been agreed that, in that scenario, only a performing rights licence is required. 

Users of the free personalised radio service can access 30 minutes of on-demand music in return for watching an advert via a promotion called Sponsored Premium Access. And Pandora accepts that, when a user does that, for 30 minutes they are using an interactive service during which time mechanical rights are being exploited. 

However, the MLC argues that the availability of Sponsored Premium Access means the entire personalised radio service should be classified as interactive, and therefore mechanical rights are in play. That would require Pandora to pay mechanical royalties to the MLC for all usage of the personalised radio service, and not just when a user opts into Sponsored Premium Access. 

Justifying that position in a lawsuit filed in February, the MLC stated, “Users of Pandora Free can select and receive streams of particular sound recordings on-demand at any time. Even if a Pandora Free user decides to listen to music in a ‘lean back’ mode such as a playlist or custom-made webcast, they remain able to listen to particular sound recordings on-demand whenever they choose”. 

In its response, Pandora argues that the MLC is misrepresenting the law and going against years of music industry convention. “For over six years Pandora has offered its users of free internet radio service the ability to access Sponsored Premium Access sessions. At no point during that time has anyone else in the music publishing or recorded music industry alleged that the limited availability of SPA sessions to Pandora’s free-tier users turns the entirety of that tier into an interactive service like Spotify or Apple Music”.

The viewpoint of the record industry is relevant here - even though the MLC collects royalties for songwriters and music publishers - because on the recordings side Pandora can rely on another compulsory licence, administered by SoundExchange, for its personalised radio service but not its on-demand service. 

And, it argues, no one has said the personalised radio service no longer qualifies for the SoundExchange licence because of Sponsored Premium Access. Which means the record industry still considers the personalised radio service to be first and foremost non-interactive. 

Returning to whether or not the MLC should even have a formal opinion on any of this, Pandora’s new filing adds, “The MLC is intended to be a neutral arbiter; it is funded solely and entirely by the digital music platforms to cover the ‘reasonable costs’ associated with fulfilling the MLC’s licensing and royalty distribution duties. The MLC is not authorised to opine on whether particular transmissions offered by Pandora are properly characterised as interactive or non-interactive as a legal matter”.

Kilimanjaro Live // Promoter Assistant (London)

FKP Scorpio Entertainment // Head of Marketing (London)

FKP Scorpio Entertainment // Ticketing Manager (London)

FKP Scorpio Entertainment // Social Media Manager (London)

foundation.fm // Account Manager (London)

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ONE LINERS

TikTok, Kate Nash, Virgin Music Group + more

DEALS 

TikTok has partnered with AEG’s ticketing company AXS to sell tickets within its app. The social media firm already has an alliance with Live Nation’s Ticketmaster. “TikTok’s partnership with AXS allows us to connect millions of users with legendary artists, venues and festivals, and allows artists to promote their live dates and reach their audience in a whole new way”, says Michael Kümmerle, TikTok’s Global Music Partnership Development Lead. “We are very excited to start this journey with AXS and look forward to supporting the further growth of ticketing on TikTok in the future”.

The Armada Music owned BEAT Music Fund has acquired Cloud 9 Music. The Armada and Cloud 9 music publishing operations - including both company’s current roster, catalogue and team - will be merged under the banner Armada Music Publishing. “This strategic move underscores Armada’s mission to position itself as the best partner in the in-demand global electronic dance industry, projected to reach $20.9 billion by 2033”, says Armada.

Music funding platform beatBread has announced a new partnership with Kobalt to offer publishing administration services to its clients. This will be managed by Kobalt in the US and the Kobalt-owned AMRA in the rest of the world. “beatBread’s funding platform is open, and we are committed to providing access, choice and empowerment for all creators, regardless of their chosen publisher or performing rights organisation”, says beatBread CEO Peter Sinclair.

APPOINTMENTS 

Virgin Music Group has promoted Cindy James to General Manager of its North American operations. “I have worked with Cindy for the past five years and am incredibly proud to elevate her to the well-deserved position of General Manager for Virgin Music Group North America”, says Jacqueline Saturn, President of the Universal Music services division. “Cindy has been instrumental in providing leadership and insights across the ever-evolving landscape of our business”.

MARKETING

New music-focussed creative content and design agency Nothing Forced has been launched by brothers Jeremy and Lawrence Abbott. “Nothing Forced was formed with the idea we could offer more than what was out there right now, and ultimately anything that feels contrived is going to fall flat, that’s where we come in and it’s the sentiment behind our name”, says Jeremy Abbott. “Both of our careers have taken place in electronic music and media, with this agency we’ve married our skill sets in content and design to give artists, brands and events a unique way to present themselves that comes from within the scene rather than outside. It helps that we’re brothers too”.

AWARDS 

Spanish promoter Elrow and its owners The Arnau Family are set to receive the IMS Legends Award 2024 at this year’s Beatport Awards. The ceremony will take place at House Of WOW in Ibiza on 24 Apr, as part of the International Music Summit. “The Arnau family and the Elrow brand are true disruptors of global nightlife, not just Ibiza”, says IMS’s Ben Turner. “A family legacy that has been promoting underground music and nightlife in Spain for generations, they are one of the true great success stories of our industry and consumer culture. IMS is delighted to honour them for their dedication, innovation and colourful approach to the dancefloor!”

GIGS & FESTIVALS

Former Slayer guitarist Kerry King has announced a solo show in London on 18 Jun. Tickets are on sale now.

RELEASES

Kate Nash has released new single ‘Space Odyssey 2001’. Her new album ‘9 Sad Symphonies’ is out on 21 Jun, and she’s also set to play Koko in London on 28 Nov.

Foals’ Yannis Philippakis has announced a collaborative EP with late Afrobeats drummer Tony Allen, under the name Yannis & The Yaw. ‘Lagos Paris London’ will be released on 31 Aug. Following Allen’s death in 2020, Philippakis says that there was “an imperative to finish it in a way that I had never felt with another record. There was a deep duty to do it, to finish it as well as possible, and to pay respect to him by getting it out there”.

Cigarettes After Sex have released new single ‘Dark Vacay’. New album ‘X’s’ is out on 12 Jul.

Machinedrum has released new single ‘Rise’ featuring Rozet. 

Martha Skye Murphy has released new single ‘Need’.

Russell Simmons says 1997 agreement bars new sexual assault lawsuit

A lawyer representing Def Jam founder Russell Simmons yesterday said that a new lawsuit accusing his client of sexual assault should be dismissed. Simmons denies the allegations contained in the lawsuit, though his attorney was arguing for dismissal based on legal technicalities: the statute of limitations and a previous 1997 agreement. 

A legal rep for Simmons' accuser seemed unaware of the 1997 agreement. Meanwhile, Simmons' attorney didn't seem to know that his client had previously agreed to an extension of the deadline for filing claims under the New York Adult Survivors Act. According to Law360, the judge overseeing the proceedings mused, “I think it would behoove each of you to exchange documents”. 

In the lawsuit filed in February, an unnamed woman who worked for Def Jam in the mid-1990s claimed that she “was sexually harassed, assaulted, sexually battered, and raped by her boss, Russell Simmons”. 

The rape occurred after she was required to go to Simmons’ New York home for a meeting. Following the assault, the alleged victim “was wrought with distress. At the peak of her career success at Def Jam, making award-winning videos for their biggest artists, she experienced overwhelming anxiety, shame, humiliation and debilitating low self-esteem”. She ultimately quit the label and the music business. 

In a court session yesterday, Simmons’ lawyer David Fish said that all the claims in the lawsuit “have been waived by a 9 Jan 1997 settlement agreement and release”. No more information was provided about that agreement, with the accuser's lawyer, Sigrid McCawley, stating that this is “the first we're hearing about this alleged release”. 

Beyond that agreement, Fish also argued that the claims in the lawsuit are barred by the statute of limitations. The lawsuit is relying on two pieces of law that specifically allow new litigation to be filed relating to incidents that allegedly took place sufficiently long ago that they would normally be prohibited by the statute of limitations. 

The first is New York state's Adult Survivors Act. However, the deadline for filing claims under that act was 24 Nov 2023, and this lawsuit was submitted with the court in February. It was on that point that McCawley argued that Simmons, via a previous attorney, had agreed to an extension of the deadline, via what is known as a 'tolling agreement'. 

The lawsuit is also relying on New York City's Gender Motivated Violence Act, which was updated in 2022 to remove the statute of limitations providing lawsuits are filed by 28 Feb 2025. This lawsuit obviously meets that deadline. To that end, Fish is relying on a different argument here, basically that this can only be relied upon for alleged assaults that occurred after the act became law in 2000. 

Presumably the lawyers will now exchange their documents and then update the court on their respective positions. 

Food and transport still key contributors to festival carbon emissions, but improvements being made

A Greener Future has highlighted significant improvements in the environmental credentials of music festivals worldwide with the publication of its Annual Festival Sustainability Report for 2023. 

In particular, among the 40 festivals analysed across eleven countries, the organisation welcomes an increase in bans on single use plastic serveware to 75%, a reduction of 0.25kg in average waste per festival attendee, and an increase in events becoming fully vegan or vegetarian. However, it adds, there is still plenty of room for improvement.

“Although there is always lots to do”, it says, “a big congratulations to all the festivals and their suppliers that demonstrated clear and significant steps forwards. We are proud that AGF can provide a sector-wide measurement, a starting point for discussion, and a benchmark to collaborate towards improving”.

Transport has previously been highlighted as a key contributor to festival carbon emissions, and the report this year shows that, for rural festivals, there was a slight decrease in people using cars and vans to get to events, and a slight increase in those using public transport. However, there were also more people travelling by plane. For urban festivals, there was an increase in both car and plane use in 2023.

That said, in part this may come down to the quality of data recorded in this area. AGF says that, “the overall quality of audience travel data continues to improve year on year” and that “festivals are engaging audiences, and increasingly partnering with low-carbon or public transport providers”.

“The rise in air travel seen in 2023”, it adds, “relates to a larger number of island-based festivals assessed, as well as several festivals taking place in isolated areas”.

While the report notes an increase in the number of festivals offering only vegan or vegetarian food, this still only accounts for 8% of the festivals assessed. However, 20% reported that more than half of their food traders offered only vegan or vegetarian menus, and 55% of events had a formal sustainable food and drink policy.

Those festivals that did offer only vegan or vegetarian food reduced their carbon emissions by over 60% on average. 

Despite some improvements, the report notes that its findings “further highlight [the] significant impact of travel and transport, and that food and beverages are often the second largest source of emissions after transport”.

Access the full report here.

Setlist Podcast: MPs want to see action on musicians’ income

In this week's Setlist Podcast: Chris Cooke and Andy Malt discuss the warning from UK politicians that there need to be “tangible steps to improve musicians’ remuneration and performer rights” by this time next year, and Blur drummer Dave Rowntree’s class action lawsuit against PRS For Music over songwriter royalties, and more.

🎧 Click here to listen - or search for 'Setlist Podcast'

Amazon launches AI playlist tool in beta

Amazon Music has joined Spotify in experimenting with AI tools to allow users to create playlists. Called Maestro, the chatbot is being made available in beta to a small number of US-based users on all tiers of Amazon Music. 

“To get started, all you need is a prompt idea - you can go for something short (or long), use emojis, emotions, activities, sounds, or choose from one of the suggested prompts”, explains the company. 

Emojis? Yes, it goes on, “Feel like listening to songs that sound like 🤖? Maestro’s got you. Within seconds, you’ll be able to admire your use of emojis to evoke the perfect songs, and get a unique-to-you playlist that brings a selection of electronic and robot-like tracks to life. All that’s left to do is listen to what you created, save it, share it with friends to listen, and they can create their own to share back”.

Spotify launched its own AI playlist creation tool - also in beta - in the UK and Australia earlier this month. That too allowed you to nudge the bot into action using emojis, among other things. It remains to be seen if this is anything more than a novelty, and it’s perhaps telling that both companies are tentatively putting this feature out to a limited number of users, rather than implementing it with any big fanfare. 

Other prompts Amazon suggests, by the way, include “😭 and eating 🍝”, “Music my grandparents made out to”, and “Myspace era hip hop”. Anyone? No? OK. How about 🤳👾🤦‍♂️💩?