Collective rights management good for the copyright economy and cultural diversity

Can collective rights management help the Internet realize its potential for the creative and cultural sector? A debate organized by EU Observer in Brussels on 27 November gathered key EU actors to highlight their potential role as catalysts for licensing the use of copyright-protected works on the Internet.

Collective rights management organizations (CMOs) license copyright-protected works and redistribute royalty fees to authors and artists. They are under the spotlight in Brussels with a recent Proposal for Directive aiming to improve their governance and transparency and establish a framework for simpler licensing of musical works for their online use.

Making information circulate and promoting cultural diversity is key for public service media, said Dr. Krzysztof Wojciechowski representing TVP (Polish Television) during the debate. Broadcasters' agreements with CMOs render it possible to use the world music repertoire in programmes. This enables the use of a diverse range of music in programmes and subsequently bolsters cultural diversity. Broadcasters online services are also an obvious opportunity to promote that diversity.

Welcoming the Proposal for a Directive on Collective rights management and recognition of the fact that broadcasters do not use music the same way as commercial online music services, Dr. Wojciechowski highlighted three areas for improvement:

the proposal should fully reflect the needs of broadcasters for the licensing of music for both their offline and online services;

national solutions which benefit rightholders and copyright users alike, such as extended collective licensing, should be clearly unaffected;

a better balance of interests between rightholders, CMOs and users, should be ensured.

Marielle Gallo, a European People's Party French Member of the European Parliament and one of the Institution's most influential members when it comes to copyright issues, said: the Proposal responds to a genuine need and will help develop the market for online music services. But it is perfectible, and I will be looking into all the relevant issues.

Her socialist counterpart Fran oise Castex took a tougher stance: This Proposal for a Directive does not do enough to address the real issue: how will rightholders get properly paid for the use of their online works? This Directive is only one part of the puzzle; other pieces are still needed.

European Commission copyright expert Maria Martin-Prat explained the overall approach of the Proposal: We can't mix social engineering with policy-making , she said. We've only addressed how CMOs manage authors' rights for online music because that is where the real problem lies. CMOs are destined to play a key role in this field, but they need to be ready for the huge online music shop which the Internet offers.

Musical composer and Board member of French CMO Sacem Willy Badarou also said that the Directive was needed. But remember that CMOs are the solution, not the enemy. And while they can become more transparent, so could publishers and online service providers

This debate will impact the ongoing work of the European Parliament, which is currently amending the Proposal on Collective Rights Management prepared by the European Commission. Marielle Gallo, Fran oise Castex and several other Members of the European Parliament hope to present a report in Spring 2013. In parallel, Member States are also discussing and amending the Proposal and will need to reach an agreement with the European Parliament.

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