The agency also says it has surpassed $5 billion in distributions since its inception, a "milestone for the digital music services," says CEO Michael Huppe.
As expected, SoundExchange's gross distributions in the U.S. fell more than $225 million, or 26.2 percent, to $652 million from last year’s total of $884 million, due to Pandora switching from a compulsory license to direct deal with record labels. In making that switch, Pandora began paying its label partners directly while still paying artist royalties to SoundExchange, to make distributions to them.
In its announcement, the agency noted that over 50 major and independent labels choose SoundExchange to administer the artist royalties.
SoundExchange, an agency created to collect digital royalties from satellite, webcasting and cable music services, said that last year, its distributions since inception surpassed $5 billion, marking an "important moment for the new music economy," SoundExchange CEO Michael Huppe said in a statement. "It's a milestone for the digital music services and, of course, for the artists and rights owners, who create the music that makes those services possible."