A new iTunes streaming service could be a disaster for songwriters

Two rumours in short succession have hinted that the digital music scene is moving firmly away from the buy-to-own (or rather, pay-to-permanently-license-with-terms-just-short-of-ownership) model – of iTunes, the Amazon MP3 Store and Bandcamp – towards the model which services like Spotify and its American competitors Pandora and Rdio use, where users pay a monthly fee for unlimited access to music.

The Telegraph reports that the BBC is considering launching an iPlayer-style service to make its archive available:

The service, dubbed Playlister, will give licence-fee payers free access to hundreds of thousands of music recordings without paying any additional fees.

The BBC has talked about the idea of making its vast archive of music recordings public in the past, but has always run into trouble clearing the rights.

However, it is understood to be in talks with Spotify and similar music services, such as the French-run Deezer and Apple’s iTunes music store in an effort to side-step the problem.

Those services have already signed bulk rights deals with music labels, who opt in because they would prefer to make some money from the online streaming service rather than watch the shift to digital formats obliterate their sales altogether.

Last month, the Wall Street Journal reported that Apple is planning a similar streaming music service:

Apple Inc. is in talks to license music for a custom-radio service similar to the popular one operated by Pandora Media Inc., according to people familiar with the matter, in what would be a bid by the hardware maker to expand its dominance in online music.

Apple’s service would work on its sprawling hardware family, including the iPhone, iPads and Mac computers, and possibly on PCs running Microsoft Corp.’s Windows operating system, according to one of these people. It would not work on smartphones and tablets running Google Inc.’s Android operating system, this person added, highlighting the mounting battle for mobile dominance between the two technology giants.

This second type of service is possible because the licensing required to do it is less like a sale, and more like running a radio station. In the US, for instance, services like Pandora are required to have a cap on how frequently any one user can play any one song, to encourage people to buy songs they particularly want to play.

But as an interesting post at Digital Music News, from attorney Steve Gordon, argues, one of the most important differences between the two types of license is that in the radio-style licenses, songwriters are increasingly struggling to get any payment at all:

If Apple wants to launch their much anticipated, Pandora-like music service, they must negotiate directly with Sony/ATV for public performance rights. That's the word on the street, and if true, a dangerous turn of events. The reason is that until recently, performing rights organizations – ASCAP, BMI and SESAC (the "PROs") – offered blanket licenses on behalf of almost all the publishers, including all the majors. This dramatically changes that, with negative repercussions for songwriters.

In other words, just because you might get your music legally these days, don't think that the creators themselves are out of hot water.

Tim Cook launches new iPods at a press event last month. Photograph: Getty Images

Alex Hern is a technology reporter for the Guardian. He was formerly staff writer at the New Statesman. You should follow Alex on Twitter.

Photo: Getty
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What Jeremy Corbyn gets right about the single market

Technically, you can be outside the EU but inside the single market. Philosophically, you're still in the EU. 

I’ve been trying to work out what bothers me about the response to Jeremy Corbyn’s interview on the Andrew Marr programme.

What bothers me about Corbyn’s interview is obvious: the use of the phrase “wholesale importation” to describe people coming from Eastern Europe to the United Kingdom makes them sound like boxes of sugar rather than people. Adding to that, by suggesting that this “importation” had “destroy[ed] conditions”, rather than laying the blame on Britain’s under-enforced and under-regulated labour market, his words were more appropriate to a politician who believes that immigrants are objects to be scapegoated, not people to be served. (Though perhaps that is appropriate for the leader of the Labour Party if recent history is any guide.)

But I’m bothered, too, by the reaction to another part of his interview, in which the Labour leader said that Britain must leave the single market as it leaves the European Union. The response to this, which is technically correct, has been to attack Corbyn as Liechtenstein, Switzerland, Norway and Iceland are members of the single market but not the European Union.

In my view, leaving the single market will make Britain poorer in the short and long term, will immediately render much of Labour’s 2017 manifesto moot and will, in the long run, be a far bigger victory for right-wing politics than any mere election. Corbyn’s view, that the benefits of freeing a British government from the rules of the single market will outweigh the costs, doesn’t seem very likely to me. So why do I feel so uneasy about the claim that you can be a member of the single market and not the European Union?

I think it’s because the difficult truth is that these countries are, de facto, in the European Union in any meaningful sense. By any estimation, the three pillars of Britain’s “Out” vote were, firstly, control over Britain’s borders, aka the end of the free movement of people, secondly, more money for the public realm aka £350m a week for the NHS, and thirdly control over Britain’s own laws. It’s hard to see how, if the United Kingdom continues to be subject to the free movement of people, continues to pay large sums towards the European Union, and continues to have its laws set elsewhere, we have “honoured the referendum result”.

None of which changes my view that leaving the single market would be a catastrophe for the United Kingdom. But retaining Britain’s single market membership starts with making the argument for single market membership, not hiding behind rhetorical tricks about whether or not single market membership was on the ballot last June, when it quite clearly was. 

Stephen Bush is special correspondent at the New Statesman. His daily briefing, Morning Call, provides a quick and essential guide to domestic and global politics.