SCPP and ADAMI, two French collecting societies that respectively represent record labels and performers, have announced a new partnership that will see them form a joint venture. That new entity will allow them to pool their databases and systems for distributing payments from the broadcast and public performance of music, as well as money generated by France’s private copy levy.
Both record labels and performers receive payments when their recordings are broadcast or played in public, with those revenues flowing through the collective licensing system.
In some countries there are separate societies for labels and performers, while in some countries a single society represents both groups, as PPL does in the UK. In France, there are four societies, SCPP and SPPF representing labels, and ADAMI and SPEDIDAM representing performers.
In a statement announcing their new partnership, SCPP and ADAMI say that they recognise having multiple collecting societies in one country “creates inefficiencies” and “weakens negotiating power”.
Labels and performers, they add, “are partners in creation, who may have opposing interests, but clearly have common interests to defend”. And as the amount of data for collecting societies to process continues to increase, the two societies go on, more collaboration makes even more sense.
Work is now underway “to outline the operational implementation” of the joint venture, although, the statement adds, “ADAMI recently modified its distribution rules, which are now close to those used by the SCPP”, which should help simplify things.
The new agreement between SCPP and ADAMI also includes a provision that could see the two organisations fully merging in the future, including an outline of how that would work in terms of governance so that the interests of both labels and performers are respected.
The French record industry’s four societies already have a number of existing partnerships to facilitate the licensing process, though this new joint venture ramps things up quite a bit. ADAMI board President Anne Bouvier describes the partnership as a “historic collaboration” which “can only strengthen collective management in the face of today’s and tomorrow’s challenges”.
SCPP’s membership includes all three major record companies as well as many indie labels. Universal Music France CEO Olivier Nusse is its current board President and, in that role, he welcomes what he calls an “unprecedented agreement”, in which labels and performers have chosen to “overcome antagonisms” within the music community to “build a stronger defence of our interests in a constantly transforming music industry”.