Peloton and The National Music Publishers' Association (NMPA), the trade association representing all American music publishers and their songwriting partners, announced today (Feb. 27) that they have reached an agreement to “fully settled the litigation brought last year by 14 NMPA members.”
The $370 million lawsuit, originally filed by the publishers last March, alleged that Peloton -- which manufactures exercise bikes that stream instructor-led fitness classes via built-in touch screens -- had used more than 1,000 copyright musical compositions without obtaining needed licenses. In its April 30, 2019, counterclaim, Peloton accused the publishers of anti-competitive behavior by engaging in a “coordinated effort” to fix prices and alleged that the National Music Publishers Association had conspired to prevent it from striking deals with the individual companies. A judge though dismissed Peloton’s counterclaims in January.
Per the agreement reached, it was announced that Peloton and the trade association entered into a joint collaboration agreement to “ work together to further optimize Peloton's music licensing systems and processes.”