Thursday, January 7, 2010

What's better a 9% or 50% Royalty Rate?

I was on Billboard.biz this morning and I noticed an article about royalty rates.

OK, I know it is Australia but still relevant to royalties on digital downloads.

The Country's Copyright Tribunal has increased the royalty rate to 9% which is paid by digital distributors to collection societies such as APRA and AMCOS.

That's correct 9% payoff to composers, music publishers and artists for digital download sales, on THIER music.

Its sure nice to own the rights to your music, so an artist who signs with Tate Music Group can receive our normal 50% royalty on digital sales like iTunes. Especially when digital sales are becoming the norm and physical distribution is going by the waste side. How many stores did Borders shut down last quarter? How many Sam Goodies or Music Traders are still around? Digital, Digital Digital!

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