EU recommends that music distribution platforms should give fair distribution to artists

The draft resolution includes opinions that call for ensuring diversity in copyright holders and distribution platforms, as the majority of artists, composers, and lyricists receive very low incomes and income distribution is unequal. Adopted by the European Parliament. In this, members of the European Parliament have pointed out that the setting of copyright rates is outdated and needs to be reviewed as it was done before digitalization.

Music streaming sector: EU must ensure just pay for artists and fair algorithms | News | European Parliament

EU targets music streaming platforms to ensure fair pay and visibility - The Verge
https://www.theverge.com/2024/1/17/24041343/eu-music-streaming-platform-artist-pay-europe-regulation

On 17 January 2024, the European Parliament voted 532 in favor, 61 against, and 33 abstained on a resolution calling for EU rules to ensure the fairness and sustainability of music distribution services and promote cultural diversity. It was adopted by vote.

In the resolution, MEPs said that EU action was needed to ensure that European musical works were prominently accessed as new content increased on music distribution services. It asks the government to 'consider' the possibility of imposing concrete measures, such as creating a framework for 'music'.

In addition, the copyright rate system was created before digitalization, so it should be revised, and he criticized ``payola'', in which record companies pay money to have their music played through broadcasting and distribution.

'Payola' is a coined word that combines 'pay' and the suffix 'ola' used for products such as the record player 'Victrola'. The term originated in the 1930s to refer to record companies bribing radio station DJs to play their music. In order to have their songs played on Payola, artists have been forced to keep the usage fees for their songs low or free.

In addition, in order to prevent attempts by distribution services to reduce payments to artists by fraudulently manipulating the number of distributions, algorithms and recommendation tools will be required to be transparent, and labels will be introduced that clearly indicate that songs are generated by AI. Proposals include making it mandatory to correctly allocate metadata to songs and identify rights holders.