As not one but two streaming mechanical rate-setting processes rumble on in the US, Warner Chappell has come out strongly against the lobbying positions of some of those DSPs, in a letter sent to songwriters.
In it, co-chairs Guy Moot and Carianne Marshall criticised Spotify, Amazon, Google and Pandora for their appeal against the rates originally set for 2018-2022, as well as their suggestions for how those rates should be set for 2023-2027.
“While the appeal plays out, they’re still paying the rate set by the CRB for 2017 – just 10.5% [of the DSPs’ revenues]. That’s an appallingly low rate,” wrote Moot and Marshall. “And now, some of the biggest and most valuable companies in the world are pushing to extend that 10.5% rate for the next five-year period.”
Publishers, led by organisations including the NMPA, NSAI and SONA, are pushing for an increase to 20%. “Without songwriters, we wouldn’t have songs or streaming services – there’d be no music business at all. You deserve this pay raise and more.”