Big Machine, Cox Media Group Sign Direct Licensing Deal

Donn Jones/CMA
Tim McGraw performs at LP Field on Thursday, June 5 during the 2014 CMA Music Festival in downtown Nashville.

Some country artists are getting more royalties when their music is played on AM/FM radio. Big Machine and Cox Media Group announced Thursday a direct licensing deal that will pay Big Machine for plays of its music on terrestrial and Internet radio platforms.
Big Machine Label Group President and CEO Scott Borchetta said in a statement that the company "understands that a forward move in the digital broadcasting space is a must to get ahead of the many opportunities that a digital dashboard and other digital initiatives are going to bring." The deal was described as "revenue sharing for both broadcast and digital play" -- consistent with similar label-broadcaster deals -- but specific terms were not disclosed.


The deal marks the latest in a growing list of agreements between labels and broadcasters that cover broadcast and Internet performances. Big Machine, home to Taylor Swift, Tim McGraw and other country artists, had previously signed similar deals with Clear Channel and Entercom in 2012 and Beasley Broadcasting Group in 2013. Independent labels such as Glassnote and BBR Music Group, which includes Broken Bow and Stoney Creek imprints, have inked deals with Clear Channel. Warner Music Group's 2013 deal with Clear Channel was the first and only deal of its kind by a major label.
Cox Media Group owns numerous country stations, including the KKBQ in Houston, in its 57-station portfolio that reaches 14 million listeners weekly. Across television stations, newspapers and online properties, Cox reaches about 52 million people every week.


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