Economic Impact of Digital Music Royalties

A fragmented framework provided by the E.U. for collecting income from music online distorts royalty capture. This caused not only the record industry and collecting societies to make losses, but affects above all song writers and singers.

Our Solution

Our approach was to undertake an analysis of how much money artists lose under the current regulatory framework. We were able to show that the current framework allows Collecting Societies to only capture a fraction of the potential revenues from digital music. This results in losses for artists, the record industry and digital music aggregators alike. The research was also published in a highly regarded scientific journal.


The European Union adopted Directive 2014/26/EU on collective rights management and multi-territorial licensing of rights in musical works for online uses.

We look forward to working with them and would happily recommend them to organizations in need for economic research.