SoundSys launched to drive improvements in performance rights revenue distribution22 February 2021 - Press release
IFPI, the organisation that represents the recorded music industry worldwide, and four leading music licensing companies (MLCs) in Asia, working with music technology company BMAT, have launched SoundSys, a first-ever, fully scalable, shared system for the distribution of sound recording performance rights revenue around the world.
IFPI, and the respective MLCs in India, Singapore, Indonesia, and Thailand, working with BMAT, have designed, and delivered the industry’s first shared, cloud-based software that serves as a complete, cost-effective back-office distribution system for revenue collected for the broadcasting and public performance of sound recordings and karaoke videos in these countries.
MLCs license the use of music for public performance and broadcast and distribute the license fees back to the right holders they represent. They need sophisticated IT systems that enable them to do this accurately and efficiently. Such systems can however be costly to develop and the unprecedented collaboration saved these MLCs from having to each build their own systems.
IFPI and the four MLCs partnered with the music technology company BMAT to develop SoundSys, which uses their proprietary state of the art technologies to organise, store and match usage and recording data, enabling MLCs to distribute royalties in a timely and cost-efficient manner, in line with global best practice.
The development of SoundSys follows the launch of the repertoire data exchange service, RDx, by IFPI and World Independent Network (WIN) last year, which enables record companies to exchange authoritative data with MLCs through a single, centralised hub. The roll-out of both systems globally will provide a standardised, high quality recording metadata supply pipeline and data processing capability for MLCs that will significantly improve the performance rights management landscape worldwide.
Frances Moore, Chief Executive of IFPI, said: “SoundSys is truly transformative. It results from unprecedented cooperation internationally while exemplifying the strength and professionalism of the music industry in Asia to harness cutting edge music technology and deliver a globally significant advancement.”
“We have launched in Asia in close collaboration with the MLCs that have helped shape and refine the system. It’s proving to be highly effective in assisting the operations of MLCs and we will now be looking to roll it out in other regions that can benefit most from the software.”
Orsi Bozso, SoundSys Project Manager at BMAT, said: “After years of tracking and data-processing next to all music industry players and gaining expertise on the challenges they face, it was a natural next step for us to develop a software that could upgrade copyright management operations.
“IFPI’s expert vision and being in sync with the four MLCs allowed us to use our technology to revamp the way MLCs distribute – bringing transparency, accuracy and reliability to the process.
“It’s been a true pleasure to collaborate with IFPI and the MLCs involved on this journey to compensating creators more efficiently.”
Jusak Sutiono, Director of Indonesian music licensing company, ASIRINDO said: “We are already greatly benefitting from the use of SoundSys in Indonesia. The SoundSys matching process is helping us to ensure we accurately identify the music content we are allocating revenues to, with the software improving the speed with which we can then process the revenue and distribute it to our right holder community.”
Chayapach Sangtabtim, General Manager, PNR (Phonorights) music licensing company in Thailand said: “SoundSys is the result of a truly successful collaboration between MLCs in Asia and IFPI. By combining our knowledge and practical experience, we have created a product that has directly improved our operations in Thailand.