The International Confederation Of Societies Of Authors And Composers, or CISAC to their friends, has responded to that Statement Of Objections issued by the European Commission regarding the way royalty collection societies operate in Europe.
As previously reported, the EC published its statement earlier this week ahead of a planned investigation into allegations that agreements between the royalty collection societies in Europe essentially contravene EU competition legislation. The investigation will focus on the licensing of music for internet or cable/satellite based media, and follows complaints from key pan-European media companies regarding what they see as the monopoly held by a 'cartel' of European collection societies.
Responding yesterday, CISAC dismissed claims that their members operated a "de facto monopoly". Meanwhile David Uwemedimo, a legal counsel for the association, said he was "stunned" at suggestions that his organisation or its members could be fined if the Commission rules that the royalty system currently operating in Europe is unfair or restrictive.
Meanwhile pan-European music channel Music Choice voiced their support for the EC's investigation. Music Choice were one of the two media companies who called for the Commission to look into the way collection societies operate across Europe.
Music Choice Chief Executive Margot Daly told CMU yesterday: "We are thrilled at the Commission's [decision to launch this investigation, which] while in support of Music Choice and our co-complainant, is really a decision in support of open, transparent, and efficient copyright licensing across Europe. The 20+ year old system is out of sync with the modern world and this decision indicates that the market must find better and easier ways to benefit every area of the music supply chain. With 12 years of music licensing experience, Music Choice decided to collaborate with our co-complainant on this case in order to achieve greater transparency and fairness for broadcasters and rights-owners alike. We believe that competitive, pan-European licensing will significantly grow the market for the distribution of music on all platforms, which can only be a good thing for authors, broadcasters, and consumers."