Global music royalty collection for creators rose by 7.6% to a new record high of €11.75 billion in 2023.
According to CISAC’s Global Music Collections report, the increase was driven by continued steady growth in digital income thanks to streaming subscriptions, as well as a strong recovery of 8.2% in live and public performance activity after three years of disruption by the pandemic.
Digital royalties rose 9.6% as steadily increasing uptake of subscription services worldwide combined with price increases across all platforms. There was also especially strong growth in the subscription video sector.
However, the growth in digital royalties has declined sharply after a decade of double-digit annual results.
“Digital growth was helped by continued rises in streaming consumption, expanding platforms and price increases by subscription services,” stated the CISAC report. “However, despite overall streaming revenue growth, the vast majority of creators are not enjoying increased royalties from digital.
“Digital collections are generally growing faster in smaller and developing markets where streaming provides a relatively large share of creators’ remuneration.”
Live and public performance grew strongly, up 21.8% to overtake pre-pandemic levels for the first time.
According to a sample of over 100 music societies, collections from live concerts and festivals grew 36.5%, while public performance licensing revenue rose by a smaller 10.9%.
Broadcast collections fell by 5.3% in 2023. TV and radio income was 0.8% below its pre-pandemic level of 2019. Societies report a continued gentle plateau in collections for traditional radio and TV income. Royalties are most affected by the fall in viewer numbers and TV advertising income.
Back in 2013, TV and radio made up 46% of CISAC’s total collections. By 2022, it was overtaken by digital for the first time. It dropped to 29% in 2023.
Global music collections have now completed their rebound and in 2023 were 31.6% above their 2019 pre-pandemic level.
This year’s figures paint a positive picture of a healthy, stable and promising sector
Gadi Oron
CISAC director general Gadi Oron said: “This report gives a unique overview of the economic and cultural value of our global CISAC community. This year’s figures, for royalties collections by CISAC members in 2023, paint a positive picture of a healthy, stable and promising sector. Overall, collections on behalf of creators [music and other areas] reached a new all-time high of €13.1bn, an impressive 7.6% increase. This, in itself, is a major achievement and shows the strength of the collective management system”.
Writing in his foreword to the report, CISAC president Björn Ulvaeus looks ahead to the impact of AI.
“Today, we are on the cusp of an enormous change,” he wrote. “AI is shaking up our landscape, and, even as it does so, its impact is still unknown. Generative AI tools are producing contents that are copied from, and risk replacing, the works of human creators. I am a user and a big fan of AI tools. I have always believed we can only ever embrace new technology, not try and stop it – but there is a rock-solid caveat: this must never be at the cost of compromising copyright and human rights.
“The recent studies estimating what this could cost to creators in lost income, from France, Germany, Australia and New Zealand, are an alarm call to us all. I believe that a badly-regulated AI environment could wipe out many artists’ careers. That could be the next Paul McCartney or Taylor Swift.”
Marcelo Castello Branco, CISAC board chair, comments in his foreword: “This 2024 CISAC Global Collections Report shows a successful performance by the CISAC global network, and we should take a moment to celebrate our achievements. However, it is essential that we elevate our ambitions further. We have to firmly reject the notion that creation – whether in music, audiovisual, visual arts, literature, or drama – is merely a commodity or a tool in the attention economy. Our market environment is full of uncertainties, and while we take pride in present growth, our priority now needs to be long-term sustainable growth to ensure the livelihoods of the creators we represent.”
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