Pandora Makes Deal with BMI and ASCAP


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Pandora has reached a new licensing deal with performance rights organizations ASCAP and BMI that will provide better rates to songwriters and give Pandora “greater rate certainty and the ability to add new flexibility to the company’s product offering over time.”

The agreement follows a long legal battle, one that involved the federal rate court and had produced an appeal from Pandora, which the company has since dropped in the wake of the new agreement. Exact figures for the new rates have not been released, but they are improvements from the previously held rates of 2.5% for ASCAP and 1.85% for BMI.

“We’re extremely pleased to reach this deal with Pandora that benefits the songwriters, composers and publishers we are privileged to represent,” BMI president and CEO Mike O’Neill said in a statement. “Not only is our new agreement comparable to the other direct deals in the marketplace, but it also allows us to amicably conclude our lengthy rate court litigation and focus on what drives each of our businesses — the music.”

“At Pandora we are delivering on our commitment to ensure that music thrives,” said Brian McAndrews, chief executive officer of Pandora. “These collaborative efforts with the leading Performance Rights Organizations, as well as our recent direct deals with several music publishers demonstrate our progress in working together to grow the music ecosystem.”

Pandora also has previously existing agreements with Sony/ATV, SONGS Music Publishing, Downtown Music Publishing, Warner/Chappell and Merlin.

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