EU Moves Closer to Pan-European Online Music Licensing

Authored by Mark Hefflinger on May 27, 2009 - 11:11am.

Brussels - Europe took another step towards a pan-European license for online music stores yesterday, when French royalty collection society SACEM told the European Commision it would drop territorial restrictions that prevent other European collecting societies from selling its artists' repertoire. Currently, a byzantine licensing system prevents digital music retailers like Apple from operating a single European iTunes Store; instead, separate agreements must be obtained from collecting societies in various countries, and customers must use the store in their home countries.

The system has made for a situation where countries including Poland, Bulgaria and Slovenia have no access to an iTunes Store.

"If iTunes was readily able to license rights on a multi-territorial basis from publishers and collecting societies, it would consider making its content available to all European consumers," Apple said in a statement.

Along with Apple, major label EMI has also said it favors pan-European licensing.

"There is a clear willingness expressed by major players in the online distribution of music in Europe to tackle the many barriers which prevent consumers from fully benefiting from the opportunities that the Internet provides," said Neelie Kroes, the EU's competition commissioner.

Interested parties now have until June 30 to comment on the proposal for a pan-European licensing system.

Related Links:
http://snipurl.com/iwdbr (PDF of EU report)

http://snipurl.com/iwdzi (Financial Times)

http://snipurl.com/iwdys (Bloomberg)