MySpace bids to pay musicians 'lost' royalties

January 24, 2010
Social networking site MySpace, which has enabled many artists to launch their careers, is now helping to pay them back millions of dollars in "lost" royalties for songs and performances.

Social networking site MySpace, which has enabled many artists to launch their careers, is now helping to pay them back millions of dollars in "lost" royalties for songs and performances.

MySpace CEO Owen van Natta said Sunday the company had signed a ground-breaking deal with performance rights group SoundExchange to track down some 25,000 major, independent and unsigned artists owed more than 14 million dollars in unpaid royalties.

"The money will be put into escrow as we search for the acts," he said at the opening of the MIDEM industry trade fair, his first speech outside the United States.

Van Natta said he planned to use the platform to put the artists in touch with SoundExchange, a non-profit-making performance rights organisation that collects royalties for the streaming of music on Internet/satellite radio on behalf of sound recording copyright owners.

The deal with MySpace opens up a new and effective way of contacting artists who are registered with MySpace but not with SoundExchange, the companies said in a press release.

"It can be a challenge notifying and convincing artists to register with SoundExchange because they don't know they're entitled to these , or believe it's too good to be true," said SoundExchange senior executive Bryan Calhoun.

MySpace, which is part of Rupert Murdoch's News Corp. group, has grown into a music power house under the guidance of van Natta, who talked at MIDEM about how he and his team have worked to make it easier for users to find new music and share tracks.

This has resulted in users creating over 180 million playlists on MySpace Music, which van Natta said is now the largest advertising-supported music business on the Web.

MySpace, which has been going head-to-head with its closest competitors, Facebook, to become the most popular space, has also launched the career of many musicians, including that of British-born sensation Lily Allen.

Explore further: Former Facebook exec Van Natta to be MySpace CEO

Related Stories

MySpace scoops up popular Facebook app iLike

August 19, 2009

(AP) -- Social networking hub MySpace said Wednesday it is acquiring iLike, a popular music application on rival Facebook, in the first move by new management to expand after a series of drastic cuts and writedowns.

MySpace Music videos to appear on Facebook

October 21, 2009

(AP) -- Social-networking site MySpace is using its joint venture with recording companies to launch a music video service that will pop into millions of profiles at rival Facebook as well.

MySpace in talks to buy imeem

November 17, 2009

(AP) -- Online social hub MySpace is in talks to acquire struggling free music streaming site imeem, two people familiar with the matter said Tuesday.

MySpace Music debuts in Britain

December 3, 2009

MySpace Music has launched in Britain with a "Get Real Close" campaign that includes a playlist of tunes from the Vatican.

MySpace buys imeem music site for under $1 mln

December 8, 2009

(AP) -- MySpace's online music venture with recording labels completed its purchase of song streaming site imeem on Tuesday, scooping up its 16 million users and mobile phone applications for less than $1 million.

Recommended for you

Toyota promises better mileage and ride with Prius hybrid

October 13, 2015

Toyota Motor Corp. released details for its fourth-generation Prius on Tuesday, promising that improvements in the battery, engine, wind resistance and weight mean better mileage for the world's top-selling hybrid car.

Facebook to test mobile app shopping tab

October 12, 2015

Facebook said Monday that it will begin testing a shopping tab for its mobile app as it works to ramp up advertising and online commerce offerings.


Please sign in to add a comment. Registration is free, and takes less than a minute. Read more

Click here to reset your password.
Sign in to get notified via email when new comments are made.