Source · Select Committees · Culture, Media and Sport Committee
Recommendation 24
24
Deferred
Paragraph: 183
The debate between the predominant pro-rata payment model and alternative methodologies such as user-centric has...
Recommendation
The debate between the predominant pro-rata payment model and alternative methodologies such as user-centric has been compelling. It is positive that new services are inventing new and creative ways to address creators’ and consumers’ concerns about the fairness and transparency of creator remuneration from streaming. We are concerned, however, that current contractual agreements between the major music companies and streaming services have the potential to stifle further innovation if they are misused. The CMA should consider in its case (recommended in paragraph 111) whether these agreements have the potential to (or indeed have already) prevented experimentation and innovation by streaming services.
Government response summary AI-generated
The government notes concerns about potential market dominance and stifled innovation, but defers the decision to the independent CMA on whether to undertake a market study or specific investigation, stating it has written to the CMA regarding the recommendation.
Paragraph Reference:
183
Government Response
The government responded to this report on 22 September 2021. No passage in that response could be matched to this conclusion. Read the response document ↗