This month we are excited to share our 2023 Annual Royalty Recap — highlighting our 2023 distributions, updated cumulative statistics from our 2021 and 2022 distributions and our cumulative total royalties distributed (from all distributions through February 2024).
This month we are excited to share our 2023 Annual Royalty Recap — highlighting our 2023 distributions, updated cumulative statistics from our 2021 and 2022 distributions and our cumulative total royalties distributed (from all distributions through February 2024). In this newsletter, we also detail our February distribution, give an update on Phono 3 historical royalties, and share some new information about updating your tax and banking information and transferring catalogs. As always, thank you for reading our updates every month and playing your part in The MLC process.
The MLC completed its second royalty distribution of the year on February 13, bringing us to 35 total royalty distributions since we began full operations — all of which were on time or early. February’s distribution primarily covered newly reported usage that took place in November of 2023. The total of all royalty pools reported to The MLC for this cycle was approximately $89.4 million.
Every month our team attempts to match sound recording uses to the musical works data in our public database and then distributes the resulting matched royalties to our Members. This month, we were able to match more than 85 percent of the total royalty pools we administered to songs currently registered in our database.
After deducting royalties for usage covered by voluntary licenses maintained by DSPs with rightsholders, we collected approximately $85.8 million in royalties and distributed approximately $62.7 million to our Members.
To learn more about our February 2024 distribution, click here:
The MLC completed 12 monthly royalty distributions in 2023, our third year of operations, and each of those distributions was completed on time or early. As the chart below shows, for the 12 monthly distributions in 2023, The MLC processed $980.0 million, directly distributed more than $732.1million in royalties, and processed usage covered by voluntary licenses maintained by DSPs valued at an additional $46.5 million — bringing our total royalties distributed during the year to roughly $778.6 million. Our initial match rate for those distributions averaged 85% but thanks to reprocessing, our average current match rate for those distributions is now more than 89%.
Here are some additional metrics for the 12 royalty distributions we completed in 2023:
For additional comparative metrics (for our 2021, 2022 and 2023 distributions), please check out our full 2023 Annual Royalty Recap:
In case you missed it, February 9 was the deadline for DSPs to deliver to The MLC any adjusted data and corresponding royalty payments due as a result of the final Phono 3 rate determination. To read a high-level aggregate summary of the adjustments, click here.
As tax season approaches, now is a great time to log in to The MLC Portal to double check that all your banking and tax information is correct. We encourage all Members to review your tax details and make any necessary updates.
Also, beginning in March, Members will be unable to update their banking and tax information each month from the 3rd-14th. This is to ensure the royalties for each month’s distribution will be routed correctly. Starting on the 15th, you can update banking and tax information by logging into the Portal and clicking "View Member," then clicking "Banking Information" near the bottom left corner of your screen. To log in to your Portal account, clickhere.
We are excited to announce the official launch of our improved Catalog Transfer process. When the right to collect royalties for a collection or catalog of musical works transfers from one Member to another, it is essential that the Member acquiring rights inform The MLC of the transfer and provide documentation that evidences the transfer. This allows us to update the relevant data for these works in our database and then redirect royalties for the works being transferred to the Member receiving rights.
Members should submit all catalog transfer requests online using The MLC's new Catalog Transfer platform here. Members will be able to begin the process by completing a Catalog Transfer Form summarizing the key terms of the transfer and submitting applicable required documentation along with the form.
To learn more about catalog transfers and The MLC's Catalog Transfer process, please review our Help Center article here.
