Spotify strikes royalties deal with music publishers

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Spotify struck a deal Thursday with music publishers intended to resolve squabbling, for the time being, over how the service pays royalties on certain tracks.

Under a settlement with the National Music Publishers’ Association, the service will provide publishers with a list of all the tracks users have played that are not associated with an artist, according to The Wall Street Journal. This will allow publishers to claim royalties for the so-called unmatched tracks.

The newspaper reported that, in return for the settlement, publishers will agree not to sue Spotify for copyright infringement.

Publishers will receive additional compensation for their participation, according to a release.

“I am thrilled that through this agreement both independent and major publishers and songwriters will be able to get what is owed to them,” said NMPA President David Israelite. “We must continue to push digital services to properly pay for the musical works that fuel their businesses and after much work together, we have found a way for Spotify to quickly get royalties to the right people.”

Spotify has previously set money aside for royalties for the tracks, but artists have still complained about the fact that some songs on the popular streaming service aren’t associated with the people who produced them.

Rock musician David Lowery sued Spotify last year because he said the service streamed music of artists it never bothered to track down. He has asked the court to consider his suit, which seeks millions in damages, as a class-action. The Journal reported that another musician has also sued Spotify over the issue.