SoundExchange collects and distributes digital performance royalties from the use of sound recordings on behalf of more than 155,000 recording artists and master rights owners (typically the record label) and administers direct agreements on behalf of rights owners and licensees. It is the only organization officially designated by the U.S. Congress to do so. SoundExchange pays featured and non-featured artists ( background vocalists, session musicians, etc.) and master rights owners for the non-interactive (you don’t choose which song plays) use of sound recordings under the statutory licenses set forth in 17 U.S.C. § 112 and 17 U.S.C. § 114.
The New Formula for Success in the Music Business
The old method of promoting a new act in the music business was for a record company to invest at least $500,000 in studio time with a good producer, the cost of a good video, the advertising budget, and the cost of the first promotional road tour.
