YouTube’s ASCAP Deal Will Pay Out More Royalties To Musicians

While YouTube and major record labels continue to snipe at each other, the video site has struck a deal with a major company in the music industry. It has joined forces with ASCAP for a data-sharing deal that, if all goes according to plan, will result in more royalties for musicians.

ASCAP, which collects licensing fees and royalties for its network of more than 600,000 songwriters, composers, and music publishers, already had an interim agreement in place with YouTube, as required by law. The new deal, according to Billboard, is the first voluntary pact between ASCAP and YouTube, and it will allow the former company to greatly increase its reach on the latter’s platform. ASCAP will share its library of more than 10.5 million musical works with YouTube, and tools like Content ID will be able to locate videos that use those tracks are used and compensate musicians for them. From an outsider’s perspective, it seems like the result could be an uptick in Content ID claims, so videomakers may want to check their work to make sure their soundtracks are properly licensed.

YouTube, beyond any financial incentives included in the deal, is also getting an opportunity to praise a partner in the music industry rather than fighting with it. “YouTube is dedicated to ensuring artists, publishers and songwriters are fairly compensated,” said Lyor Cohen, Global Head of Music at YouTube. “As YouTube delivers more revenue to the music industry through a combination of subscription and advertising revenue, it’s great to see ASCAP take a progressive approach towards the long term financial success of its members.”

Billboard noted that ASCAP’s main competitor, BMI, is also discussing a renewed long-term deal with YouTube.