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Royalties for music used by telecom companies must be paid: -IPRS

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The Mumbai-based Indian Performing Rights Society (IPRS), a group representing composers, lyricists and music publishers sent written notices to carriers including Bharti Airtel, Vodafone India, Idea Cellular and Reliance Jio Infocom to sign licensing agreements with them for collecting royalties.

Formed in 1969, the society was granted registration under the Copyright Act and Copyright Rules in November 2017.

“We have initiated the process of seeking royalties from Indian telecom companies and platforms for the use of their works, including songs and music made available for streaming and downloads,”

Rakesh Nigam, chief executive officer of IPRS, told Music Plus.

“As they are one of the largest consumers of music, we have sent out the letters to the telecom companies asking them to obtain licence for the literary and musical works, sound recording and cinematographic film that we own as part of the value added services that they offer,” he added.

In case of mobile value-added services, the royalty varies from 8% of the end-user price less taxes. The revenue generated by downloads with a minimum fee for ringtones and caller-back tones and the sale or download of songs in a digital format, to 12% for music streaming services on a yearly basis.

Nigam hopefully said, “This is a time consuming process. It may take a while, but we are hoping that the telecom companies will come on board and agree to pay royalties.”

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Abhishek Singh

Author: Abhishek Singh

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