CHANGES
Music Canada Prescribes Government Actions to Close Value Gap
At its annual general meeting on Oct . 17 th , Music Canada released The Value Gap : Its Origins , Impacts and a Made-in-Canada Approach , the first comprehensive report about the “ value gap ” and the solutions available to Canadian policy makers . The value gap is defined as the significant disparity between the value of creative content that is accessed by consumers , and the revenues that are returned to the people and businesses who create it .
Music Canada says the core of the problem is misapplied and outdated “ safe harbour ” provisions in copyright law , which result in creators
MUSIC CANADA PRES . GRAHAM HENDERSON
having to forego copyright royalty payments to which they should be entitled . To address these inequities , Music Canada ' s report prescribes four government actions :
1 ) address safe harbour laws and exceptions , as well as the cross-subsidies that have been added to the Copyright Act ;
2 ) review the Copyright Act for instances that allow others to commercialize creative works without properly remunerating artists , and end these cross-subsidies ;
3 ) remove the $ 1.25 million radio royalty exemption , which requires radio stations to only pay $ 100 in performance royalties on their first $ 1.25 million of advertising revenue ; and
4 ) amend the definition of “ sound recording ” in the Copyright Act to allow performers and creators of recorded music to collect royalties when music is part of a TV / film soundtrack . For more information or to download the full report , go to www . musiccanada . com .
Feds Overhaul Support for Arts Industries
Speaking to the Economic Club of Canada on Sept . 28 th , Minister of Canadian Heritage Mélanie Joly outlined Creative Canada , the federal government ’ s new strategy for the creative economy and a renewed policy approach to strengthen the country ’ s creative sector .
While a $ 500 million agreement with Netflix received the bulk of the media attention , the government also promised to modernize the Canada Music Fund within two years , but few details were given on how . Joly says the government will support Canadian music artists and entrepreneurs to develop specialized business , promotion , and performing skills so they can break into international markets . Funding will also support entrepreneurs in developing competitive , modern marketing strategies .
Joly says the government will increase its contribution to the Canada Media Fund . A specific dollar amount on the funding increase was not announced , but she says the purpose is to make up for the decline in levies from cable and satellite distributors and top-ups from Ottawa will start next year . There will also be $ 125 million put towards the Creative Export Strategy to promote and facilitate the export of Canadian content . The government will also create a Creative Industries Council ( CIC ), which will advise the government on ways to enhance collaboration and spur growth in creative industries .
SOCAN & Pioneer DJ Providing Royalty Tracking Device to EDM Venues
SOCAN has partnered with Pioneer DJ Corporation to become the first music rights organization in North America to use direct metadata extraction technology , KUVO , to identify electronic dance music performances automatically in nightclubs and other electronic music venues .
SOCAN is providing Pioneer ’ s KUVO device to nightclubs , beginning with the Toronto area , as an additional aspect of their SOCAN music license agreement . The device plugs into a DJ ’ s mixing board , capturing metadata from the music , which is then collected and relayed to SOCAN to tabulate and distribute royalties more accurately to the copyright holders of the music . KUVO helps to ensure that the correct owners of music used in nightclubs are compensated accurately from the music licenses already being paid .
For more information , contact SOCAN : 416-445-8700 , www . socan . ca .
… Muzooka and SOCAN are integrating their live performance reporting technologies to make it easier for songwriters to receive their live performance royalties from SOCAN . The Muzooka Setlist Reporter technology enables venues to report live shows and performers to submit their setlists quickly and easily , integrating with SOCAN ’ s Notice of Live Music Performance application program interface . www . socan . ca .
PHOTO : SCOTT SANDARS / WIKIMEDIA COMMONS
12 • CANADIAN MUSICIAN