The recent Rethink Music report on music industry transparency has already drawn a sharp response from US industry body the RIAA for its claims of missing royalties for artists. Now the IFPI is also having its say, criticising “inaccurate information, unsubstantiated assertions, and consequently unfair criticisms of record companies” in the report.
The IFPI claims its own data shows that in 18 countries, artist payments fell by 6% over the five years to 2014, while industry revenues fell by 17%. The body is holding up the fact that payments to artists as a share of revenues increased by 13% over that period – alongside continued A&R investment – as a defence of labels accused of black-box accounting by the report. “The real problem for artists and record companies is that some of the largest digital services in the world claim to be exempted from copyright and do not pay a fair market value for music to artists and labels…”