In this newsletter, we provide key metrics from this month’s royalty distribution. We’re also excited to tell you about our new Blanket Royalties Dashboard. Then we offer some important updates regarding DSPs operating under the blanket license we administer...
It’s gearing up to be a busy fall! We look forward to connecting with more of you at upcoming events around the country. Be sure to check out the list of industry events at the end of this newsletter to see where we’ll be.
In this newsletter, we provide key metrics from this month’s royalty distribution. We’re also excited to tell you about our new Blanket Royalties Dashboard. Then we offer some important updates regarding DSPs operating under the blanket license we administer, along with a reminder about our Annual Membership Meeting coming up on October 1. Finally, we share details about an informative new webinar series highlighting our Member benefits, plus a special discount code for Mondo.NYC 2025.
The MLC completed its ninth royalty distribution of the year on September 12. September’s distribution primarily covered newly reported usage that took place in June 2025. The total of all royalty pools reported to The MLC for this cycle was approximately $77.3 million.
Every month, our team attempts to match the newly reported sound recording uses we receive 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 nearly 85 percent of the total royalty pools reported to us by DSPs for their June 2025 usage to songs registered in our database.
After deducting royalties for usage covered by voluntary licenses maintained by DSPs with rightsholders, we collected approximately $74.6 million in royalties and distributed approximately $56.3 million to our Members. To learn more about our September 2025 distribution, click here:
Since April 2024, we have been distributing matched historical royalties for usage that took place during the Phono 3 rate period in sets. For each set of royalties from a given DSP (or DSPs), we first distribute matched historical royalties for previously unpaid uses reported by the DSP(s) concerned, then we aim to distribute matched historical royalties for previously partially paid uses from the same DSP(s) the following month.
This month, we distributed the second set of Phono 3 historical royalties from LiveOne (fka LiveXLive and Slacker, Inc.) and Trebel in the amount of $84k. Because LiveOne transferred less than the total amount of historical unmatched royalties it reported to The MLC, we prorated the payments they made on a per stream basis across all of the previously unmatched streams they reported, and we then included in this month’s distribution those royalties we were able to match to works registered with The MLC.
Overall, The MLC has been able to match and distribute more than $227 million — or more than 57 percent — of the $397 million in previously unmatched historical royalties that DSPs transferred to us in 2021. To read more about the historical royalties we have distributed so far, click here:
We continue to process adjustments to blanket royalties for usage originally reported during the last two years of the Phono 3 rate period (i.e., 2021 and 2022). These adjustments represent the difference between the royalties we initially processed for the usage periods from those two years at the Phono 2 rates and the royalties that are due at the final Phono 3 rates. In the September distribution, we did not process any new adjustments for 2021/2022, but we had reprocessing adjustments for 2021/2022 in the amount of ($4k).
Some Members may see additional adjustments from the same DSP(s) related to 2023 usage in their royalty statements. Some DSPs have reported overpayments for the 2023 annual period, which will result in negative adjustments. In some cases, the reported overpayments are substantial and the corresponding negative adjustment amounts may offset or exceed the positive adjustment amounts received in prior months. We’re sharing this preliminary statement information in advance to provide Members with helpful context as they review and interpret their current and upcoming royalty statements. In the September distribution, we did not process any new adjustments for 2023, but we had reprocessing adjustments for 2023 in the amount of ($6k).
Here is a tentative schedule showing when we are planning to process the remaining adjustments for 2021, 2022, and 2023.
*Under the tentative adjustment schedule, we hope to process the majority of Spotify’s 2021 and 2022 adjustments before year end. Spotify’s 2023 adjustment will follow 2021 and 2022.
We’re excited to announce that we’ve launched a new Blanket Royalties Dashboard, which offers a clear and up-to-date view of the blanket mechanical royalties reported to us by the DSPs that operate under the blanket license we administer. You’ll find cumulative data starting from January 2021, when The MLC first began administering these royalties. The dashboard has four tabs you can click through to see various breakdowns of the total royalty pools DSPs have reported to The MLC, including how much of the pools The MLC has collected, matched, distributed, and more. To see the new dashboard, click here:
The blanket license The MLC administers is available to eligible DSPs in the U.S., and today, more than 50 DSPs operate under it. New DSPs may choose to obtain the blanket license, while existing licensees may stop operating under it either through a voluntary withdrawal or through termination if a DSP fails to comply with the terms of the license.
Oath Music Co., dba Bootleg, obtained the blanket license on July 1, 2025 and has indicated a launch date of September 15, 2025. Valid Music withdrew from the blanket license as of June 25, 2025. You can find more information by searching for each DSP’s Notice of License here.
Notice of Blanket License Termination
Napster Group PLC (“Napster”) had its blanket license terminated effective August 24, 2025. The blanket license was terminated because the DSP did not comply with certain statutory obligations, even with notice from The MLC and a two-month opportunity to correct the issues cited by The MLC. A copy of the Notice of Blanket License Termination is archived in The MLC’s searchable index of DSP Notices, available here.
What Does This Mean for You?
Napster can no longer rely on the blanket license for the rights to make and distribute digital copies of your songs. Instead, they will have to license your songs from you and pay you mechanical royalties directly. You will not receive royalty payments from The MLC for any uses of your songs by this service after the date of termination. However, you may still receive royalties from The MLC for uses that took place prior to termination, as a result of our initial processing of adjustments from past usage periods and/or to the extent that we are able to make any new matches of these prior uses as a result of reprocessing.
Did you know that Members of The MLC have access to exclusive benefits and resources to help support your music career? Our new webinar series is designed to highlight these opportunities and show you how to make the most of them. Next month, we'll be joined by leaders from Music Law Pro on October 8 and Sound Credit on October 15. Stay tuned for more in the coming months! Click here to register.
Are you planning to attend Mondo.NYC 2025 next month? The MLC has partnered with Mondo to arrange a special 25% discount for Members. Just enter the promo code themlcmondo25 when you buy your tickets here. We hope to see you there!
