Clear Channel Media & Entertainment has cut a deal to pay performance royalties to Fleetwood Mac for songs from its recently released “Extend Play” EP that are broadcast on its 850 terrestrial radio stations. According to Clear Channel, it’s the first rights partnership between a radio company and an artist.
“Reaching an agreement with [Fleetwood Mac] is the clearest sign yet that this kind of revenue-sharing model represents the industry’s future — it is a win-win-win, for artists, fans and the music business,” said Clear Channel CEO Bob Pittman in a statement. “We look forward to helping Fleetwood Mac get their hit songs to their fans on whatever platform or device they want to find them.”
The deal may be the first with an artist but Clear Channel has already cut deals with 11 indie labels: Big Machine Label Group, Glassnote Entertainment Group, eOne, DashGo, Robbins Entertainment, Naxos, rpm Entertainment, Wind-up Records, Fearless Records, Zojak Records and Dualtone Records.
While the U.S. music industry has long sought performance royalties for master rights owners and artists — something which is paid in most other countries — it has never achieved that right in the U.S. The closest the industry has come was in 2010 when at the behest of Congress, record labels and radio station negotiated such a performance right and royalty, but those talks broke down and the legislation wasn’t enacted before the session ended. In 2012, Clear Channel began negotiating such deals, first with Big Machine, in exchange for predictable, reduced rates for its digital radio service, iHeartRadio.
“Fleetwood Mac has consistently pushed the envelope — creating new sounds, making music that seems designed for radio and looking at the industry in new ways,” said Fleetwood Mac representative Azoff Music Management head honcho Irving Azoff, who is also on the Clear Channel board of directors. “It’s fitting that a group that’s played such an integral role in radio and music history would be the first band to take such a major step — helping the music industry create a sustainable digital marketplace so it can thrive for decades to come. We’re delighted to join Clear Channel in creating a new model for the music industry one that will be good for performing artists, good for music fans, and good for the people who have invested their talent, time and money.”
Ed Christman / Billboard | Wednesday, June 12, 2013
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Clear Channel and Fleetwood Mac sign landmark revenue-sharing agreement
Clear Channel Media & Entertainment and Fleetwood Mac today announced a landmark agreement – the first direct performing rights partnership between a radio company and an artist – that will enable the group to receive revenue from airplay on Clear Channel’s digital and broadcast radio platforms. The group’s new EP, Extended Play, features the first recording of new Fleetwood Mac music since the release of “Say You Will” over a decade ago.
“Fleetwood Mac has consistently pushed the envelope – creating new sounds, making music that seems designed for radio and looking at the industry in new ways,” said Irving Azoff of Azoff Music Management, a representative of the band. “It’s fitting that a group that’s played such an integral role in radio and music history would be the first band to take such a major step — helping the music industry create a sustainable digital marketplace so it can thrive for decades to come. We’re delighted to join Clear Channel in creating a new model for the music industry, one that will be good for performing artists, good for music fans, and good for the people who have invested their talent, time and money.”
“Fleetwood Mac has blown me away from the first time I heard them – they are the perfect group for radio,” said Bob Pittman, CEO of Clear Channel. “Reaching an agreement with them is the clearest sign yet that this kind of revenue-sharing model represents the industry’s future – it is a win-win-win, for artists, fans and the music business. We look forward to helping Fleetwood Mac get their hit songs to their fans on whatever platform or device they want to find them.”
One of the most popular bands in history and a member of the Rock and Roll Hall of Fame, the legendary Fleetwood Mac has sold over 100 million albums worldwide, including “Rumours,” one of the best-selling albums of all time, which spawned four top-ten singles, won the Grammy for Album of the Year in 1977 and remained No. 1 on the Billboard charts for 31 weeks. The band, which formed in London in 1967, has produced 17 studio albums over its long career.
The groundbreaking agreement with the iconic band follows similar agreements with a number of independent recording labels but it is the first to be negotiated directly with an artist or group, creating a milestone for Clear Channel and the industry. All of these agreements represent a significant step forward in building a sustainable business model for Internet radio. The independent labels who have similar agreements with Clear Channel include Big Machine Label Group, Glassnote Entertainment Group, eOne, DashGo, Robbins Entertainment, Naxos, rpm Entertainment, Wind-up Records, Fearless Records, Zojak Records and Dualtone Records.
About Clear Channel Media & Entertainment
With 243 million monthly listeners in the U.S., Clear Channel Media & Entertainment has the largest reach of any radio or television outlet in America. Clear Channel Media & Entertainment serves 150 cities through 850 owned radio stations. The company’s radio stations and content can be heard on AM/FM stations, HD digital radio channels, Sirius/XM satellite, on the Internet at iHeartRadio.com and on the company’s radio station websites, on the iHeartRadio mobile application on iPads and smartphones, and used via navigation systems from TomTom, Garmin and others.
The company’s operations include radio broadcasting, online and mobile services and products, live concerts and events, syndication, music research services and independent media representation. Clear Channel Media and Entertainment is a division of CC Media Holdings, Inc. (OTCBB: CCMO), a leading global media and entertainment company.
Business Wire / Wednesday, June 12, 2013
