Musicians are Struggling to Live off Streaming

Paris, March 17 (AFP/APP): At a time when musicians are struggling to live off streaming, a Swedish tech entrepreneur says his app can boost royalties by curbing the illegal use of music by millions of businesses.

Many are unaware that songs on Spotify, Apple, Deezer and other streaming platforms are not licensed for use in cafes, shops, restaurants, hair salons and other businesses. “Basically, it’s like using your personal Netflix account to open a cinema,” said Ola Sars, the Stockholm-based founder of a new streaming service, Soundtrack Your Brand, which offers a legal alternative for businesses.

Sars commissioned a study by research group Nielsen Music that found an estimated 21.3 million businesses worldwide were using personal streaming accounts to play music for customers. That works out as roughly $2.65 billion in lost royalties every year for rights holders, the study said, because artists should earn “performing rights royalties” and other benefits when their music is played in public.

“Many people think they can just play any music in the background of their business, but they can’t,” said Keith Ames, of the British Musician’s Union. “It’s not your property. If you want to play it for the public, you need to pay for the right to do so.”

Spotify, which is explicit in its terms and conditions that businesses cannot use its service, was an initial investor in Soundtrack Your Brand.

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