ROYALTIES
our members meets high standards of effi ciency, transparency and accountability in their operations.
What is CISAC doing to fi ght online infringement?
As our focus is on promoting the collection of royalties we don’t normally enforce rights directly. We work with governments and international bodies on making a legal framework that ensures eff ective protection of rights in the online world. We want better protection for digital rights, so that creators can get a fair share in the digital market and that this market can continue to develop.
We participate in discussions at the World
Intellectual Property Organization (WIPO) on international treaties; take part in consultations in Europe; and work directly with governments on domestic laws to promote a legal framework that supports the licensing of authors’ rights.
In January 2014 we published our annual Global Collections Report. T is study shows the levels of authors’ society royalty collections. It’s interesting that while we see an increase in royalties being collected year on year, which is obviously very positive, the share of the digital market in overall collections remains very small.
In 2012 (the latest available data), our member societies collected €7.8 billion ($10.8 billion) in royalties. Just 4 percent of that comes from the digital market. On the one hand, this indicates the huge potential that still exists in this digital market, but on the other hand it demonstrates there’s a lot of work to be done on making sure that creators get their fair share of online revenues.
What challenges do you face when collecting royalties outside the digital sphere?
T e challenges diff er between regions. In some countries it is getting the rights in place and dealing with the more fundamental and basic royalty collection. In others, the challenge is the level of royalties that can be obtained. In Europe the issues have been more about cross-border licensing, but a new consultation is now looking at a wide range of topics related to copyright which could signifi cantly aff ect creators.
India is an important market where we are still fi ghting for the basic rights of creators. T e rights to obtain royalties from broadcasters are under attack there. A Delhi appeals court decision from May 2012 held that authors are not entitled to collect royalties from broadcasters, which goes against international copyright treaties and norms.
Interpreting local law in a manner that goes against international law is something that simply can’t continue. T e Indian market has massive potential, and is very important, so we had to step in by
28 Trademarks & Brands Online
What are your plans for the Asia Pacifi c offi ce?
China is a huge market with a huge potential. However, when you look at the fi gures for the whole of the Asia Pacifi c region—which account for just under 20 percent of all royalties collected globally—most of
the revenue comes from
Australia, New Zealand and Japan. It’s diffi cult to say what percentage you would expect in Asia. Europe accounts for nearly 60 percent of overall collections; that 40 percent gap is huge. T ere is potential in the Asia Pacifi c region, especially in countries such as China.
What kinds of challenges do you face in China?
T is goes to both the level of protection, and to the level of royalties that can be collected. According to the fi gures we’ve received from all of our collecting societies, 75 percent of royalties comes from the communication or public performance of works, which includes collections from broadcasters and companies that play music to the public.
In the Chinese market this really needs more development, in terms of who you collect for, because there are many places that are not paying, and in terms of royalty rates, which are currently very low. So it is both a question of coverage of the market and the rates that properly refl ect the value of the work.
How will CISAC be expanding its work in the legal and public affairs area?
We work on three levels: international, regional and domestic.
Internationally we are active in forums where there are discussions on copyright or issues that relate to the protection of creators. We promote the interests of creators there.
On a regional level we are active in Europe, where we have been participating in consultations on the new directive on collective management of
Volume 3, Issue 1
“INTERPRETING LOCAL LAW IN A MANNER THAT GOES AGAINST INTERNATIONAL LAW IS SOMETHING THAT SIMPLY CAN’T CONTINUE.”
www.worldipreview.com
initiating proceedings before the Indian Supreme Court. We want the court to understand the impact this could have, not just on local creators, but also international creators.
Meanwhile, there have been very positive
developments in China, where the government has clear intentions to modernise the law and bring it in line with western standards. T is is one of the reasons we established our regional Asia Pacifi c offi ce in Beijing, in January 2014. We would like to be present, work closely with government, and promote the rights of local and international creators in this important market.
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